[Click eStock] "Samsung Heavy Industries, Operating Profit to Double Every Year Until 2025"

DS Investment & Securities forecasted on the 6th that Samsung Heavy Industries' operating profit will double every year from this year through 2025.

According to DS Investment & Securities, Samsung Heavy Industries' order backlog at the end of February amounts to $35 billion. It increased by an additional $3.8 billion over two months this year from $31.2 billion last year. By ship type, there are 12 tankers ($2.3 billion), 49 container ships ($7.2 billion), 95 LNG carriers ($20.8 billion), 6 others ($0.7 billion), 2 drillships ($1 billion), and 2 FLNG units ($3 billion).

Researcher Yang Hyung-mo of DS Investment & Securities stated, "Based on the announced sales of 9.7 trillion KRW this year, applying a 20% operating profit margin to the expected offshore sales of 900 billion KRW and a 4-5% margin to the expected commercial ship sales of 7 trillion KRW, the operating profit this year could increase to 500 billion KRW," adding, "This exceeds twice last year's operating profit of 234 billion KRW."

He also said, "If next year's sales are based on 10 trillion KRW, applying profit margins of 20% and 7% to offshore and commercial ship sales respectively, the total operating profit will increase to 800 billion KRW," forecasting, "As sales and profit margins improve, profitability will rise sharply."

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