Taihan Cable & Solution Co., a leading South Korean cable manufacturer, announced a remarkable increase in its 2023 operating profit, reaching its highest level in 15 years. This surge was primarily driven by a significant uptick in international orders, notably from the United States. The company’s preliminary operating profit for the last year soared by 62.8% to 78.4 billion won ($58.8 million), marking the highest since 2008. Additionally, sales climbed by 16.1% to a 12-year peak of 2.8 trillion won, while its net profit astonishingly more than tripled to 67 billion won.
Despite a slight 1.4% dip in the fourth-quarter operating profit, Taihan experienced a 15.8% rise in sales and a near tripling of its quarterly net profit. The robust performance was attributed to strong orders from the US, Europe, and the Middle East, bolstering the company’s earnings in 2023 and providing a promising business outlook.
The company’s success is linked to the growing investments in renewable energy sectors and the need for old power grid replacements, particularly in developed markets. Taihan’s strategy includes ongoing collaboration with its overseas subsidiaries and branches to sustain this growth trajectory.
The positive financial results and future prospects led to Taihan’s shares climbing 2.6% to their highest close since early January, outperforming the broader Kospi index. The company’s consistent performance in the US, with cumulative orders surpassing 300 billion won for the second year in a row, and securing high-voltage power grid deals in Germany and Bahrain, underlines its global reach.
Furthermore, Taihan is expanding its investment in the submarine cable sector, anticipating the increasing demand for renewable energy. The company is currently constructing its second submarine cable factory, with completion expected in 2026, and has acquired South Korea’s only cable-laying vessel for offshore wind power, underscoring its commitment to reinforcing its position in this rapidly growing industry.
