HD Hyundai reported its highest quarterly operating profit since becoming a holding company in 2017, with Q1 operating income surging 62.1% to 1.29 trillion won ($960 million). The South Korean conglomerate’s shipbuilding division drove results with record-high profitability despite seasonal challenges.
The company posted Q1 consolidated sales of 17.09 trillion won ($12.74 billion), up 3.5% year-on-year. Its shipbuilding unit, HD Korea Shipbuilding & Offshore Engineering, saw operating profit soar to 859.2 billion won with a 12.7% margin – its strongest performance since the 2019 corporate restructuring.
While construction equipment and energy businesses faced headwinds from global demand weakness and falling oil prices, power equipment operations flourished. HD Hyundai Electric’s operating profit jumped 69.4% on North American sales growth, achieving a 21.5% margin.
The results highlight the group’s strategic pivot toward high-value maritime and power infrastructure amid an industry-wide focus on selective orders. HD Hyundai’s shipbuilding business has targeted $18.12 billion in new orders for 2025, emphasizing environmentally friendly vessels and digital solutions as regulatory pressures intensify.
