[Click eStock] "Hyundai Rotem, Earnings Beyond Expectations"

Hana Securities raised the target price for Hyundai Rotem from 70,000 KRW to 80,000 KRW on the 29th, citing that the company's third-quarter operating profit exceeded market expectations.

Hyundai Rotem recorded sales of 1.0935 trillion KRW and an operating profit of 137.4 billion KRW in the third quarter of this year. These figures represent increases of 18.0% and 233.9%, respectively, compared to the same period last year.

Wiheungjae, a researcher at Hana Securities, explained, "Sales in the Defense Solutions division reached 584.6 billion KRW, a 41.1% increase compared to the same period last year," adding, "The export ratio within the division exceeded 70% for the first time."

He continued, "Sales in the Rail Solutions division were 408.4 billion KRW, up 7.2% year-on-year," noting, "This indicates an exit from a prolonged low-profitability phase."

He emphasized, "The order backlog continues to grow, reaching 18.9933 trillion KRW," and "The order backlog in the Defense Solutions division stands at 4.4755 trillion KRW."

Hana Securities estimates that Hyundai Rotem will achieve sales of 4.2199 trillion KRW, 6.2774 trillion KRW, and 6.9930 trillion KRW from 2024 to 2026, respectively.

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