From BigGo Finance · BigGo Finance · · 1m 10s
HD Korea Shipbuilding Pre-Books 75% Q3 Labor Costs
HD Korea Shipbuilding pre-books 75% of Q3 labor costs, boosting Q4 profit by 17%.
In brief
HD Korea Shipbuilding pre-books 75% of Q3 labor costs, boosting Q4 profit by 17%. HD Korea Shipbuilding pre-booked 75% of Q3 wage-negotiation costs, lifting Q4 profit expectations by 17%. Originally reported by BigGo Finance.
Q3 Labor Costs Pre-Booked
HD Korea Shipbuilding pre-booked 75% of Q3 wage-negotiation costs.
“75% of the costs that could additionally arise from this year's wage negotiations in the third quarter”
Q4 Profit Forecast
Q4 operating profit expected at 1.6876 trillion won (17% increase from Q3).
“1.6876 trillion won (approximately $1.3 billion), up 16.6% from the previous quarter's 1.4472 trillion won”
U.S. Shipyard Project
HD Korea Shipbuilding to build U.S. shipyard by year-end with Kiewit.
“HD Hyundai signed a contract with Kiewit, the largest U.S. construction, engineering and infrastructure company”
Military Vessel Orders
Shipyard targets military support vessels for U.S. Navy contracts.
“The shipyard is expected to serve as a base for building military support vessels such as console tankers (tankers for at-sea military logistics resupply) and ro-ro ships”
Newbuild Orders Forecast
2024 newbuild orders expected at 190 million GT, down 30% in 2025.
“expected newbuild orders this year total about 190 million GT, a level that would break the 2007 record”
LNG Carrier Market
Chinese shipyards won 32 LNG carriers this year; South Korea competitive.
“Chinese shipyards won about 32 LNG carriers this year”
Q4 Profit Drivers
Easing labor costs and U.S. shipyard boost Q4 profit outlook.
“the shipbuilding boom can continue next year, along with two factors, easing wage-negotiation cost burdens and the building of a U.S. production base”
Q4 Order Performance
176 vessels worth $19.1 billion won through Q3, exceeding annual target.
“won a total of 176 vessels worth $19.1 billion (about 25.6 trillion won) through the third quarter”
Q4 Outlook
Q4 profit up 17% with military vessel orders and U.S. shipyard progress.
“Q4 profit seen up 17% with military vessel orders and U.S. shipyard progress”
What matters most
HD Korea Shipbuilding pre-booked 75% of Q3 wage-negotiation costs, lifting Q4 profit expectations by 17%.
