South Korea’s major shipbuilders, including Hyundai Heavy Industries, may report poorer-than-expected earnings for the second quarter of the year, as they delivered more low-priced ships, data showed Sunday.
Hyundai Heavy is expected to have logged an operating income of 25 billion won during the April-June period, a sharp plunge of 91.4 percent from a year earlier, and Samsung Heavy Industries may report 187 billion won in operating income, also 35 percent down from a year earlier, according to the data.
Daewoo Shipbuilding’s second-quarter operating income is estimated at 125 billion won, also down 1.79 percent from a year earlier, they showed.
“Their business performance may not improve sharply this year due to delivery of low-priced ships,” Lee Kang-rok, an analyst at KTB Investment & Securities, said. “Adding to this, there are fewer new orders, which is putting pressure on their stock prices.” (Yonhap)
