Kolon Global Reports Q3 Operating Profit of 69 Billion Won, Up 36.5% Year-on-Year

[Asia Economy Reporter Ryu Taemin] Kolon Global recorded strong performance in the third quarter following its record-breaking results in the second quarter. While the construction division achieved its highest-ever profit, all business divisions grew together, showing balanced performance increases.

According to Kolon Global on the 4th, the company's consolidated third-quarter sales amounted to 1.1714 trillion KRW on a preliminary basis, up 19.6% compared to the same period last year. Operating profit reached 69 billion KRW, and net profit was 46.7 billion KRW, increasing by 36.5% and 58.3% respectively year-on-year.

Kolon Global's strong third-quarter results were driven by balanced growth across all divisions including construction, distribution (automobiles), and trading, with the trading division achieving its highest sales despite recording losses last year.

Looking at each division, the construction division earned 539 billion KRW in the third quarter. The housing and building business grew 4.8% compared to 514.3 billion KRW in the same period last year, and operating profit increased by 36.5% from 33 billion KRW in the third quarter last year to 54 billion KRW. This marks the highest-ever third-quarter performance, supported by smooth progress in large housing projects, gains from completion settlements, and improved cost ratios in ongoing projects.

As of the third quarter this year, cumulative new orders reached 2.547 trillion KRW, achieving 82% of the annual order target of 3.11 trillion KRW set at the beginning of the year. Kolon Global secured significant orders in the third quarter alone, including the Yeongdeok Sunrise Wind Power Project (93.5 billion KRW) and the construction of multi-family housing in the Deokpyeong District of Yangpyeong (101.9 billion KRW). The order backlog as of the third quarter stands at 9.9 trillion KRW, approximately five times the construction division's sales last year.

The trading division showed the highest sales growth rate among all business divisions. It recorded sales of 117.9 billion KRW in the third quarter, a 51.2% increase from 78 billion KRW in the same period last year. This improvement reflects a restructuring of the business portfolio focusing on profitability, including robot vacuum cleaners such as Nibot and Shakla, and BYD electric forklifts. The distribution division achieved sales of 390.8 billion KRW in the third quarter, driven by increased sales of high-end SUVs.

A Kolon Global official stated, “With the investment capacity strengthened by performance growth, we plan to complete a sustainable growth model from onshore wind power to offshore wind power and green hydrogen,” adding, “The market is also giving positive evaluations for our stable performance and the investment attractiveness of new growth businesses.”

This content was produced with the assistance of AI translation services.