Samsung C&T beats earnings estimates

October 25, 2023

Samsung C&T Corp. on Wednesday reported better-than-expected quarterly earnings behind solid performances of all its business areas.

Net income stood at 701.2 billion won (US$519.5 million) in the July-September quarter, up 17.5 percent from a year earlier, the company said in a regulatory filing.

Operating profit expanded 4.2 percent on-year to 830.4 billion won, while sales shrank 2.5 percent to 10.97 trillion won.

The operating profit was 8.9 percent higher than the median estimate by analysts in a survey by Yonhap Infomax, the financial data firm of Yonhap News Agency. The estimate of net profit was not available.

Samsung C&T, the trading, construction, fashion and resort arm of South Korea’s top conglomerate, Samsung Group, attributed its above-market performance to the sustained profitability of all its business sectors.

“The third-quarter operating profit rose from a year earlier as all business areas remained profitable thanks to differentiated competitiveness and solid revenue bases, despite business uncertainties,” it said.

Samsung C&T said sales of its construction business soared 26 percent to 5.3 trillion won on strong overseas orders in the third quarter, with those of the general trading division falling nearly 32 percent to 3.3 trillion won. The two sectors account for the bulk of its revenue.

Samsung C&T said it will try to maintain its improved profitability, though domestic and overseas business conditions are forecast to worsen in the fourth quarter.