DSME Turns Profit in Q1
Daewoo Shipbuilding & Marine Engineering (DSME) swung to the black in the first quarter of the year from a year earlier, largely thanks to cost-cutting measures, reports Yonhap.
The Korean shipyard reported an operating profit of 292 billion won ($257.57 million) for the January-March quarter, compared with an operating loss of 38 billion won a year earlier.
Net profit reached 261 billion won (US$230 million) in the January-March period, compared to a loss of 3.4 billion won in the same quarter of last year, it said in a regulatory filing.
DSME said in a statement that “Value added containerships and drill ships helped buoy operating profit in the first quarter compared to the year earlier period.”
The company is returning to a surplus for the first time in more than 4 years. DSME had been suffering losses after posting a surplus in the last quarter of 2012.
Although its profits increased, the company informed that its revenues dropped by 20 percent year-on-year to KRW 2.78 trillion from KRW 3.48 trillion reported in the first quarter a year earlier.
