Seoul:Samsung E and A Co., the engineering and construction subsidiary of the Samsung Group, announced a 37.7 percent rise in its third-quarter net profit, attributing the increase to revenue growth from large-scale projects and enhanced profitability.
According to Yonhap News Agency, the company's net profit for the quarter ending in September reached 216.7 billion won (US$163.2 million), up from 157.4 billion won during the same period last year. This growth was driven by contributions from large-scale petrochemical and advanced manufacturing projects, alongside improvements in cost management and the adoption of AI and robotics technologies.
Operating profit for the third quarter more than doubled to 500.6 billion won from 176.55 billion won a year ago, while sales increased by 45.8 percent to 2.91 trillion won from 1.99 trillion won. These robust earnings resulted in a 16.14 percent rise in Samsung E and A's shares to 55,400 won, significantly outperforming the Korea Composite Stock Price Index (KOSPI)'s 3.52 percent decline.
For the period from January to September, Samsung E and A reported a 23 percent increase in net profit to 562.48 billion won, while operating profit surged 86.9 percent to 961.9 billion won. Sales for the same period rose 24 percent to 7.79 trillion won. The company secured new orders worth 9.4 trillion won in the third quarter, raising its total order backlog to 27.2 trillion won.
Samsung E and A had set an initial target of achieving an annual operating profit of 800 billion won and securing new orders worth 12 trillion won. However, the company has revised its targets upwards to 1.4 trillion won in operating profit and 19 trillion won in new orders, having already surpassed its previous goals.
Additionally, the company has announced plans to buy back shares worth 780 billion won starting Friday through January 22, 2027, and to cancel shares valued at 690 billion won as part of its strategy to enhance shareholder value.