Hanwha Solutions announced that it achieved its highest-ever sales and operating profit within the renewable energy sector last yr despite internal and external management uncertainties. It said that it has continued to speculate in mid- to long-term growth, including the completion of an integrated solar energy production complex in North America, while also resuming money dividends to enhance shareholder value.
Hanwha Solutions announced on the twenty second that it recorded 13.2887 trillion won in sales and 604.5 billion won in operating profit on a consolidated basis in 2023. In comparison with the previous yr, sales increased by 1.2% and operating profit decreased by 34.6%.
By business sector, the brand new and renewable energy sector recorded sales of KRW 6.6159 trillion and operating profit of KRW 568.2 billion. Sales and operating profit increased by 18.8% and 62.3% in comparison with the identical period last yr, breaking record-high performance. The reason is that that is the results of sales of development assets and EPC sales increasing by greater than KRW 1 trillion, mainly within the U.S. and Europe.
The chemical division's sales decreased by 13.7% from the identical period last yr to KRW 5.0974 trillion, and operating profit decreased by 89.9% to KRW 59.5 billion. As the worldwide imbalance in supply and demand of petrochemicals has continued for a very long time, the margins of major products have decreased, and regular maintenance within the fourth quarter has affected profitability.
Sales within the advanced materials division were KRW 988.9 billion, down 14.2% from the identical period last yr, and operating profit was KRW 64.3 billion, up 82.2%. As demand for finished vehicles increased, sales of parts and materials remained stable, while profits increased as a consequence of lower raw material prices and efforts to enhance production efficiency.
Hanwha Solutions' sales within the fourth quarter of last yr were KRW 3.8697 trillion, up 2.3% from the identical period last yr, and operating profit was KRW 40.7 billion, down 75.8%. The brand new and renewable energy sector achieved record-high sales (KRW 2.3409 trillion) within the fourth quarter, and the chemical sector recorded a quarterly operating loss (KRW 79.3 billion) for the primary time in a yr for the reason that fourth quarter of 2022.
On today, Hanwha Solutions announced that it will pursue money dividends this yr and next yr to strike a balance between growth investment to extend mid- to long-term corporate value and short-term shareholder return. Money dividends, which weren’t implemented as a consequence of the corporate's concentrate on investing in latest growth engines akin to expansion of its U.S. plant, shall be paid after approval on the regular general shareholders' meeting for the primary time in 4 years. Money dividends of 300 won for common stock and 350 won for preferred stock shall be paid per share, with a complete dividend amount of 51.7 billion won.
CFO and Vice President Ansik Yoon said, “We’re concerned that module sales volume will decline in the primary quarter as a consequence of the off-season,” adding, “We’re targeting 2.5 trillion won in annual sales from development assets and EPC this yr.” He also added, “Once the Cartersville plant within the U.S. begins full operation throughout the yr, local production and sales volume will increase, which can function a possibility for a latest breakthrough.”
Meanwhile, Hanwha Solutions held a board meeting and advisable Lee Ah-young, a professor within the Department of Management and Accounting at Kangwon National University, as a latest outside director candidate. As well as, Satoshi Shima, former chief of staff at Softbank Japan, Jihyung Park, professor of economics at Seoul National University, and Jeongho Search engine optimisation, lawyer at Wiz Law Firm, were advisable as candidates for out of doors directors (re-election), and Vice Chairman Dong-kwan Kim and CEO Ei-hyeon Nam were advisable as candidates for inside directors (re-election). The regular general shareholders' meeting shall be held on March 26.
Reporter Taeyong Kim future@aitimes.com