Seoul: Hanwha Solutions Corp., the energy solutions division of South Korea's Hanwha Group, announced that its net loss expanded in the fourth quarter compared to the previous year. This increase is attributed to ongoing maintenance activities and a decline in chemical product prices.
According to Yonhap News Agency, the company's net losses for the three months ending in December increased to 404.8 billion won (approximately US$276.4 million) from 203.61 billion won in the same quarter of 2024. This information was disclosed in a regulatory filing by Hanwha Solutions.
A company spokesperson explained that the core chemical division's earnings were impacted by routine maintenance and decreasing prices for products such as polyethylene and polyvinyl chloride (PVC). In the renewable energy sector, Hanwha Solutions experienced a significant drop in utilization rates at its U.S. solar module plants due to customs restrictions on South Korean-imported solar cells, amid ongoing tariff discussions. This led to a decline in fourth-quarter sales.
Hanwha Solutions operates various facilities, including solar cell and module plants and a chemical plant in South Korea, two solar module plants in Georgia, USA, a solar module plant in Malaysia, and a PVC plant in China. The company reported an operating loss of 478.2 billion won in the December quarter, compared to an operating profit of 107 billion won the previous year. Additionally, sales decreased by 18.6 percent to 3.77 trillion won from 4.64 trillion won during the same period.
Looking forward, Chief Financial Officer Jung Won-young expressed optimism about improved results in the chemical and renewable energy divisions for the first quarter, anticipating better outcomes following the completion of maintenance work and the restoration of normal operations at the U.S. plants.
For the entire year of 2025, Hanwha Solutions saw its net losses reduce to 608.9 billion won from 1.37 trillion won the previous year. However, operating losses increased to 353.3 billion won from 300.2 billion won, while sales grew by 7.8 percent to 13.35 trillion won from 12.39 trillion won.