Samsung C&T Reports 13.5% Increase in Operating Profit Last Year... Cancels 1 Trillion Won of Treasury Shares

Samsung C&T recorded double-digit growth in operating profit last year due to balanced growth across all divisions. As part of its shareholder return policy, it plans to increase dividends and cancel treasury shares worth over 1 trillion KRW.

On the 31st, Samsung C&T announced that it posted sales of 41.896 trillion KRW and operating profit of 2.87 trillion KRW last year. While sales decreased by 2.9% compared to the previous year, operating profit increased by 13.5%.

The construction division saw strong progress in project schedules, and the resort division also increased profits due to rising leisure demand and expansion of new food and beverage outlets. Additionally, stable profit growth from subsidiaries Samsung Biologics and Bioepis contributed to an increase in consolidated operating profit.

On the same day, Samsung C&T also announced a dividend plan of 2,550 KRW per common share and 2,600 KRW per preferred share. A Samsung C&T official stated that this applies the maximum payout ratio under the dividend policy, which pays 60-70% of dividend income from affiliates.

Furthermore, the company revealed plans to cancel one-third of its currently held treasury shares, amounting to 7,808,000 common shares, as well as all preferred shares. The scale of this cancellation exceeds 1 trillion KRW based on market value. Samsung C&T explained that by evenly dividing and canceling all treasury shares during the shareholder return policy period, it aims to resolve market uncertainties.

Meanwhile, this year Samsung C&T will continue to enhance competitiveness in existing businesses and improve its profit structure while accelerating the promotion of promising new businesses. In particular, the goal is to build a sustainable business portfolio through virtuous cycle reinvestment in future growth engines such as eco-friendly energy and bio sectors.

In the eco-friendly energy sector, the company plans to expand solar power project development and EPC (Engineering, Procurement, and Construction) orders mainly in North America, Australia, and the Middle East. It will participate in projects producing clean hydrogen overseas for import into Korea and also promote domestic green hydrogen production demonstration projects.

Efforts will also be made to secure technological capabilities related to SMR (Small Modular Reactor) business and to preempt initial EPC business opportunities in Eastern Europe and other regions. The battery recycling business strategy involves full-scale sourcing, reprocessing, and production operations through overseas investments.

In the bio sector, the subsidiaries Biologics and Bioepis will maintain their global No. 1 position by expanding CMO production capacity. While strengthening the development of follow-up biosimilar pipelines, the company also plans to independently explore new business opportunities in the bio and healthcare fields.

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