An aerial view of HJ Shipbuilding & Construction's Yeongdo shipyard in Busan [HJ Shipbuilding & Construction]
An aerial view of HJ Shipbuilding & Construction's Yeongdo shipyard in Busan [HJ Shipbuilding & Construction]

HJ Shipbuilding & Construction posted a major earnings surprise in the first half of this year, driven by a sharp turnaround in its shipbuilding division and steady order wins in construction.

The company disclosed Wednesday that its consolidated first-half results for 2026 showed sales of 1.27 trillion won ($898 million), operating profit of 89.4 billion won and net profit for the period of 88.1 billion won.

Compared with the same period last year — when the company recorded sales of 917.8 billion won, operating profit of 10.8 billion won and a net loss of 1.1 billion won — sales rose 38.5% and operating profit surged more than eightfold. Net profit also swung to a large surplus, marking a clear earnings turnaround.

The shipbuilding division was the primary driver of the strong first-half performance. The unit benefited from the full-scale construction of eco-friendly, high-value-added container vessels in its commercial shipping business, alongside stable profitability from special-purpose vessels including defense contracts.

Shipbuilding division sales in the first half reached 678.6 billion won, up 75.5% from 386.6 billion won in the same period last year, while operating profit came in at 81.7 billion won, leading the company's overall earnings improvement.

The construction division maintained a steady profit despite pressure from rising raw materials prices, keeping public works, housing and civil engineering projects on track. The division posted first-half sales of 584.4 billion won and operating profit of 7.8 billion won.

"Through eco-friendly and high-value-added vessel orders in shipbuilding and disciplined portfolio management in construction, we will continue to strengthen the company's long-term competitiveness and shareholder value in the second half," an HJ Shipbuilding & Construction official said. "We will also solidify our fundamentals by executing large-scale national infrastructure projects — including the Sinbundang Line and GTX — as well as urban renewal contracts without disruption."


kaf2002@heraldcorp.com