SEOUL, South Korea – HD Hyundai has announced a substantial surge in its third-quarter earnings, driven by a thriving shipbuilding industry and a strong performance in its power equipment division. The conglomerate’s consolidated operating profit for Q3 2025 recorded a massive 294.5% increase year-over-year, marking a significant improvement in profitability.
According to the official announcement on November 3, HD Hyundai achieved consolidated revenue of KRW 18.2243 trillion and an operating profit of KRW 1.7024 trillion for the third quarter. While revenue grew by a solid 9.8% from the same period last year, the nearly three-fold increase in operating profit highlights a substantial boost in the group’s overall profitability.
Shipbuilding and Marine Drive Profit Growth
The stellar results were primarily spearheaded by the shipbuilding and marine segment, HD Korea Shipbuilding & Offshore Engineering (KSOE). The company reported revenues of KRW 7.5815 trillion and an operating profit of KRW 1.0538 trillion, representing increases of 21.4% and 165.5% respectively compared to the previous year. This performance is attributed to an expanded proportion of high-value vessel sales and successful efforts to enhance productivity. The booming demand for high-value ships, such as LNG carriers, has provided a significant tailwind for the segment.
Transformer Business Powers Ahead
Another major contributor to the stellar performance was HD Hyundai Electric, which benefited from increased global demand for power equipment, specifically transformers. The division achieved KRW 995.4 billion in revenue and an operating profit of KRW 247.1 billion. The inclusion of earnings from high-value projects in the third quarter resulted in a high operating profit margin of 24.8%. The increasing global power demand, particularly for ultra-high-voltage transformers, is setting a favorable stage for continued growth.
Construction Equipment and Refining Divisions Turn Around
In addition to the strong core businesses, the turnaround of the construction equipment and refining sectors further bolstered the group’s profitability.
HD Hyundai Site Solution (Construction Equipment) saw its revenue rise to KRW 2.0526 trillion and operating profit jump by 96.7% to KRW 143.2 billion. This significant improvement in profitability was supported by recovering market demand in advanced regions like North America and Europe, alongside successful penetration into emerging and mining markets.
HD Hyundai Oilbank (Energy) successfully transitioned back to profitability after just one quarter of struggling with industry headwinds. The refining unit posted revenue of KRW 7.3285 trillion and an operating profit of KRW 191.2 billion. The company plans to sustain this performance by stabilizing plant operations, maximizing efficiency, and increasing the proportion of high-value products amidst ongoing global petrochemical market uncertainty.
Lastly, HD Hyundai Marine Solution, specializing in the Aftermarket (AM) and digital solutions business, also contributed positively with revenues of KRW 513.2 billion and an operating profit of KRW 93.6 billion.
A representative from HD Hyundai stated, "The significant improvement in earnings stems from the robust performance of the shipbuilding and power equipment sectors, coupled with the successful turnaround of the refining and construction equipment divisions," adding, "We will strive to maintain a stable earnings trajectory through continued development of eco-friendly technologies and maximization of production efficiency."
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