Seoul: Hanwha Ocean Co., the shipbuilding division of the Hanwha Group, reported a significant turnaround in its financial performance for the third quarter, transitioning from a net loss to a net profit due to a surge in orders for high-end vessels.

According to Yonhap News Agency, Hanwha Ocean recorded a net profit of 269.4 billion won (US$187.8 million) for the three months ending in September, compared to a net loss of 74.8 billion won in the same period last year. The company's impressive results were driven by continued demand for value-added ships, including liquefied natural gas (LNG) carriers and submarines under the Changbogo-III Batch-II program for the Navy.

The company further highlighted that maintenance, repair, and overhaul (MRO) projects for the U.S. Navy played a crucial role in boosting earnings during the quarter. Operating profit saw a substantial increase, reaching 289.8 billion won from 25.6 billion won the previous year, while sales grew by 11.8 percent to 3.02 trillion won from 2.7 trillion won.

For the period from January to September, Hanwha Ocean reported a net profit of 633.6 billion won, a stark contrast to a net loss of 51.2 billion won in the previous year. Operating profit surged to 920.1 billion won from 68.9 billion won, and sales rose by 25.8 percent to 9.46 trillion won from 7.52 trillion won.

Thus far in the year, the company has secured orders worth US$6.32 billion to construct 32 vessels, including 12 very large crude carriers (VLCCs), 13 container ships, and six LNG carriers. Hanwha Ocean anticipates that LNG carriers will continue to comprise approximately 60 percent of its total sales, with sustained operating profits driven by high-end ship orders secured since 2023.