Hanwha Ocean Co. posted its first annual profit since 2022 as lucrative LNG carrier orders and submarine projects bolstered its performance. The South Korean shipbuilder reported operating profit of 238 billion won ($183 million) in 2024, compared with a 197 billion won loss a year earlier.
Sales surged 45% to 10.8 trillion won, driven by revenue recognition from high-value LNG carriers which accounted for over 80% of commercial vessel deliveries. The company’s commercial division turned profitable with 126 billion won in operating income versus a 483 billion won loss in 2023.
The naval business saw operating profit rise 53% to 126 billion won on submarine construction, while offshore earnings declined 94% to 8 billion won amid project timing issues.
New orders totaled $9 billion in 2024, including 19 LNG carriers worth $4.7 billion. The company’s orderbook stood at $31 billion by year-end, providing visibility through 2027.
While optimistic on future LNG carrier demand, executives signaled 2025 orders may moderate due to delayed US export projects and temporary overcapacity in shipping markets. The company is expanding into ammonia carriers as environmental regulations drive clean fuel adoption.
