DL E&C Q1 Operating Profit 90.2 Billion KRW... 28.3% Decrease YoY

Sales of 1.85 trillion KRW
New orders reached 3.2762 trillion KRW
Expansion of plant sector orders
Active promotion of eco-friendly new business ventures

DL E&C announced on the 28th through a preliminary earnings report that it expects consolidated sales of KRW 1.8501 trillion and operating profit of KRW 90.2 billion for the first quarter of 2023.

Consolidated sales reached KRW 1.8501 trillion, a 22% increase compared to the same period last year, but operating profit decreased by 28.3%. DL E&C presented a sales guidance of KRW 8.2 trillion for this year, approximately 9.3% higher than last year.

New orders in the first quarter amounted to KRW 3.2762 trillion, more than tripling compared to the first quarter of last year. New order performance improved across all business sectors, with the plant business division achieving KRW 1.7727 trillion in new orders in the first quarter alone. In March, DL E&C secured a KRW 1.4 trillion package 1 TC2C and existing plant connection construction project for the Shahin Project, the largest domestic petrochemical project ever invested in by S-Oil.

As of the end of the first quarter of 2023, DL E&C’s consolidated debt ratio stood at 92%, and it maintains a stable financial structure with a net cash holding of KRW 1.1 trillion. DL E&C’s credit rating is evaluated at ‘AA-’, the highest level in the construction industry, and it is expected to maintain a stable financial structure this year as well, supported by its net cash position and low debt ratio.

While expanding new orders in existing businesses, DL E&C is accelerating the development of eco-friendly new businesses in line with global decarbonization policies. Through its subsidiary CARBONCO, established last year, the company is promoting business development and new orders in the fields of carbon capture, utilization, and storage (CCUS) and hydrogen energy.

A DL E&C representative stated, "Based on a stable financial structure, we are doing our best to improve sales and operating profit by leveraging our extensive construction experience and know-how," adding, "We will also focus on expanding our eco-friendly new business portfolio through building carbon and hydrogen value chains."

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