Samsung C&T reports robust annual profit growth

[Courtesy of Samsung C&T]

Samsung C&T demonstrated a resilient performance last year, posting a robust 14 percent increase in operating profit despite a decline in sales and operating profit in the fourth quarter.

On Wednesday, the company announced its financial results for the year, revealing an operating profit of 2.87 trillion won ($2.15 billion) over sales of 41.89 trillion won. While sales fell by 2.9 percent from a year ago, operating profit surged by 13.5 percent. In the fourth quarter alone, the company recorded sales of 10.1 trillion won and an operating profit of 627 billion won, down 5.1 percent and 1.1 percent from a year ago, respectively.

The construction sector played a pivotal role in driving the positive performance, achieving sales of 19.31 trillion won, up 32.3 percent. The operating profit in this sector reached 1.03 trillion won, up 18.2 percent compared to the previous year. The overseas projects, including the Qatar Solar project and the NEOM Tunnel in Saudi Arabia, contributed significantly to the rise in revenue.

On the other hand, the trading sector reported sales of 13.26 trillion won, with an operating profit of 360 billion won. The figures represent a 34.4 percent drop in sales and a 9.3 percent decline in operating profit compared to the previous year.

In the fashion sector, Samsung C&T recorded sales of 2.05 trillion won, up 2.5 percent, with operating profit up 7.8 percent to 194 billion won. The boost in sales and profit was attributed to strong performance in both imported goods and online business.

The resort sector reported sales of 3.57 trillion won with an operating profit of 194 billion won. With a 6.9 percent increase in sales and a notable 50.4 percent surge in operating profit compared to the previous year, the company successfully introduced new facilities amid rising demand.

Samsung C&T, buoyed by stable profits, is poised to focus on future growth initiatives. Particularly, in the eco-friendly energy sector, the company plans to expand solar projects in North America, Australia, and the Middle East, while also participating in projects producing clean hydrogen for domestic use.

In the small modular reactor (SMR) business, Samsung C&T aims to secure technological capabilities and seize business opportunities in Eastern Europe. The company also plans to intensify efforts in battery recycling through overseas investments in sourcing, processing, and production activities.