KBI Construction Focuses on Private Sector Orders... Expected to Achieve Record High Orders This Year

Pyeongtaek Poseung-eup Seokjeong-ri Logistics Center New Construction Site (Photo by KBI Group)

KBI Group's construction division, KBI Construction, announced on the 19th that despite the construction market contraction caused by COVID-19 this year, it has continuously succeeded in securing private sector construction orders and is expected to achieve the highest order record in its history this year.

In July last year, KBI Group appointed Jin Gwang-woo, Executive Director, as the new CEO of KBI Construction without recruiting from outside. Jin joined in 1992 as a new employee at Gapul Construction, the predecessor of KBI Construction, and has worked there for 30 years this year. According to the company, CEO Jin focused on the private sector sales, which had been sluggish, leveraging his strong leadership and meticulousness as an engineer, achieving continuous orders.

Breaking away from the past portfolio focused on the public sector, CEO Jin aggressively concentrated on private sector construction, already achieving 99% of last year's KRW 140.7 billion order performance. The company expects that with additional sales activities in the fourth quarter, the record for the highest annual order performance will be broken.

In 2020, when KBI Construction focused on public sector sales, the private sector accounted for 39% of the annual order amount of KRW 47.4 billion, recording KRW 18.5 billion. However, as of September this year, it has achieved KRW 117.2 billion, which is 84% of the accumulated order amount of KRW 139.6 billion, more than doubling the private sector ratio in the total annual order amount.

Earlier this year, KBI Construction secured a KRW 41.3 billion contract from Logisworks Pyeongtaek Co., Ltd. for the construction of a complex logistics center with a total floor area of 42,842.42㎡, consisting of 2 basement floors and 4 above-ground floors. In May, it secured a KRW 23.7 billion order from Clean Factomation, a specialized company in cutting-edge factory automation solutions for the semiconductor, flat panel display, and electronic components industries, for the 'Asan Factory Remodeling Protect.' In the same month, it also secured a KRW 33.1 billion contract for the construction of youth housing in Hawolgok-dong, Seongbuk-gu. Following that, in June, it secured a KRW 16 billion contract for the construction of a parking facility in Jagok-dong, Gangnam-gu, Seoul, located at 630 Jagok-dong, consisting of 4 basement floors and 5 above-ground floors, with a total floor area of 8,786㎡, including parking, commercial, and office facilities.

KBI Construction has also achieved order successes in the public sector, including KRW 14.4 billion for Yeoseohang maintenance work and KRW 16.9 billion for the Lifelong Learning Center and Comprehensive Welfare Dream Center for the Disabled.

CEO Jin stated, "We will focus on securing private sector construction orders by promoting strong sales activities that we have never experienced before, striving for stabilization in the domestic construction market. We will also expand into the Vietnamese logistics market to discover future market opportunities and devote all efforts to securing new growth engines."

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