Samsung E&A reported a 13.4% year-over-year drop in operating profit to 176.5 billion won ($123 million) for the third quarter, though the South Korean engineering firm said cost optimization helped results exceed market forecasts. Revenue fell 13.9% to 2.0 trillion won ($1.4 billion), while net profit slipped 0.6% to 157.4 billion won ($110 million).
The engineering contractor attributed the revenue decline to the completion of major hydrocarbon projects, including Saudi Arabia’s Fadhili Gas plant. The company maintained it remains on track to meet annual targets as revenues from large-scale domestic industrial and environmental facilities materialize in coming quarters.
Samsung E&A announced a $475 million contract with Wabash Valley Resources on the same day to build a low-carbon ammonia plant in Indiana, marking its return to the U.S. market since 2011. The 30-month project will produce 500,000 tons of ammonia annually while capturing 1.67 million tons of carbon dioxide, though local residents have raised concerns about carbon sequestration risks.
The company secured 1.4 trillion won in new orders during the quarter, bringing year-to-date bookings to 4.1 trillion won ($2.9 billion) with an 18 trillion won ($12.6 billion) backlog. Recent wins include basic engineering work for an Indonesian LNG project and conceptual design for a North American LNG facility, signaling the firm’s push into energy transition sectors after years of reliance on traditional hydrocarbon projects.
