HD Hyundai Heavy Industries (329180) Q2 2024 earnings summary

Executive summary

• Sales rose 30.0% quarter-over-quarter and 26.7% year-over-year, driven by more working days and higher vessel prices.

• Operating profit surged 818.3% quarter-over-quarter and 185.5% year-over-year, reflecting recovery from prior industrial accident losses and improved construction processes.

• Net income attributable to controlling interest increased 438.8% quarter-over-quarter and 539.4% year-over-year.

Financial highlights

• 2Q24 sales reached KRW 3,884.0 billion, up from KRW 2,987.7 billion in 1Q24 and KRW 3,064.4 billion in 2Q23.

• Operating profit was KRW 195.6 billion, up from KRW 21.3 billion in 1Q24 and KRW 68.5 billion in 2Q23.

• Net income for 2Q24 was KRW 154.1 billion, compared to KRW 28.6 billion in 1Q24 and KRW 24.1 billion in 2Q23.

Outlook and guidance

• Sales and operating profit are expected to benefit from continued high vessel prices and stabilization of construction processes.

• Recovery from previous industrial accident losses is expected to support future profitability.