GS E&C hits record sales on overseas orders

Korean construction giant GS Engineering & Construction said Wednesday it posted record sales in 2023, largely buoyed by upbeat overseas orders amid a housing market slowdown at home.

The company's sales reached 13.43 trillion won ($12.21 billion) last year, up 9.2 percent from a year before. The sales figures were the highest in the builder’s history.

Sales at the building and housing business division increased by 9.7 percent to 10.23 trillion won, while the company's infrastructure business division saw a 4.1 percent rise to 1.14 trillion won in sales. The new business development division experienced a more drastic surge of 38 percent to reach 1.414 trillion won.

Despite the downturn in the domestic real estate market, GS E&C managed to secure significant projects overseas, such as the 781-billion-won desalination project in the United Arab Emirates and a sulfur recovery facilities upgrade project in Saudi Arabia worth 212 billion won.

However, the company's operating profits slipped to a deficit last year due to rising costs to cover the reconstruction work of an apartment complex in Incheon worth about 388.5 billion won.

The firm's net loss also swelled to a deficit of 419.3 billion won, with new orders plummeting by 36.6 percent on-year to 10.18 trillion won.

For 2024, the company said it aims to achieve 13.5 billion won in sales and secure new orders worth 13.3 trillion won.