Seoul: HS Hyosung on Wednesday reported a first-quarter net profit of 7.4 billion won (US$5 million), turning from a loss of 399 million won a year earlier. The company said in a regulatory filing that operating profit for the January-March period rose 3.8 percent on-year to 12.5 billion won. Revenue, however, decreased 0.7 percent to 367 billion won.

According to Yonhap News Agency, the financial turnaround comes as HS Hyosung managed to improve its operational efficiency, which contributed to the rise in operating profit despite the slight drop in revenue. The reduction in revenue did not deter the company from achieving profitability, as strategic adjustments and cost management played a critical role in the financial performance of the first quarter.

The company's performance in the first quarter marks a significant contrast to its financial results from the previous year, where it faced a net loss. The shift to profitability is seen as a positive development for HS Hyosung, indicating potential recovery and growth in its financial health.