Daewoo E&C announced on the 6th that its consolidated annual management performance for the previous year recorded sales of 10.5036 trillion won, an operating profit of 403.1 billion won, and a net profit of 242.8 billion won.
Daewoo E&C explained that although its annual sales of 10.5036 trillion won at the end of last year decreased by 9.8% compared to the previous year, it exceeded its sales target of 10.4 trillion won by achieving 101.0%. By business segment, it recorded sales of ▲ 6.8418 trillion won in the dwellings construction division, ▲ 2.1704 trillion won in the civil engineering division, ▲ 1.1386 trillion won in the plant division, and ▲ 352.8 billion won in other consolidated subsidiaries.
Operating profit was 403.1 billion won, a 39.2% decrease compared to last year's performance of 662.5 billion won, while net profit was 242.8 billion won, down 53.4% from last year's performance of 521.5 billion won. However, it surpassed the market forecast of 351.4 billion won according to FnGuide.
The preliminary management performance for the fourth quarter of last year recorded sales of 2.647 trillion won, an operating profit of 121.2 billion won, and a net profit of 14.5 billion won.
A Daewoo E&C official noted, “The decrease in the number of ongoing sites, along with rising cost rates and the temporary additional costs reflected in some dwelling sites, led to a decline in sales and operating profit,” while also adding, “Despite the challenging domestic and international environment, we performed well thanks to robust growth in high-profit projects in the overseas plant division.”
Last year, Daewoo E&C recorded new orders of 9.9128 trillion won, achieving 86.2% of its annual target of 11.5 trillion won. However, as of the end of last year, it maintained a backlog of orders worth 44.4401 trillion won, which secures work for 4.2 years based on annual sales.
A Daewoo E&C official stated, “The domestic order volume was significant with projects such as the Seongnam Sujin District 1 redevelopment (779.3 billion won), the Busan Namcheon-dong mixed-use development (633.4 billion won), and the Yeouido construction apartments reconstruction (570.4 billion won), while anticipated overseas orders are expected to be slightly delayed but will lead to order expansions this year.”
Daewoo E&C projected sales of 8.4 trillion won and new orders of 14.2 trillion won for this year.
A Daewoo E&C official stated, “Considering the difficult market conditions both domestically and internationally, we set this year's sales target conservatively, but we plan to expand new orders to establish a foundation for sustainable growth,” adding, “We will continue to ensure stable and solid sales across all business divisions, while expanding order wins in large-scale overseas projects such as the Czech nuclear power plant, Iraq naval and air force bases, and the Turkmenistan mineral fertilizer plant to achieve these targets.”