HD Hyundai Electric Reports 3.6% Decline in Q3 Net Income

HD Hyundai Electric Co., a key player in South Korea's electrical equipment industry, reported a 3.6% decline in net income for the third quarter of 2023. The company's net profit amounted to 184.2 billion won (approximately $139.1 million), down from 191.1 billion won in the same period last year.

Despite a robust demand for power equipment, the earnings fell short of market expectations, with analysts predicting a net profit of around 226.8 billion won. The company's operating profit, however, saw an increase of 15.1% year-on-year, reaching 284.5 billion won, while sales surged by 18.5% to 1.17 trillion won.

HD Hyundai Electric attributed its sales growth to strong demand for power transformers in North America and high-voltage circuit breakers in the Middle East. The company also reported a substantial backlog of orders, totaling $8.84 billion as of the end of September.

To address the increasing demand, particularly from artificial intelligence data centers, HD Hyundai Electric announced plans to expand its power distribution campus located in Cheongju. This expansion aims to enhance their capacity to meet the needs of growing power infrastructure projects.