Samsung Heavy Industries Reports 4.9% Rise in Q2 Net Profit

SEOUL, July 24 (Yonhap) -- Samsung Heavy Industries Co. said Friday its second-quarter net profit rose 4.9 percent from a year earlier on increased contributions from high-end ships and improved productivity.

Net profit for the three-month period that ended in June climbed to 222.8 billion won (US$152 million) from 212.4 billion won a year earlier, the company said in a press release.

"Higher-margin vessels, such as liquefied natural gas (LNG) carriers, began contributing more to earnings as the construction of most lower-margin ships neared completion," a company spokesperson said.

Operating profit jumped 58.7 percent to 325 billion won in the second quarter from 204.8 billion won a year earlier. Sales rose 20.4 percent to 3.23 trillion won from 2.68 trillion won.

For the first six months of the year, net profit rose 6.7 percent from a year earlier to 322.9 billion won. Operating profit surged 82.4 percent to 598.1 billion won, while sales increased 18.5 percent to 6.13 trillion won.

In the second half, the company plans to leverage digital, artificial intelligence (AI) and robotics technologies to improve productivity and profitability, while exploring opportunities to secure orders for floating data centers and maintenance, repair and overhaul (MRO) projects in the United States.

Samsung Heavy, meanwhile, has received US$10 billion worth of new orders in the January-July period, achieving 72 percent of its annual order target of $13.9 billion.