Hyundai Heavy reports more red ink

FEBRUARY 12, 2015 — South Korea’s Hyundai Heavy Industries (HHI), the world’s largest shipbuilder, reported a whopping net loss of KRW 2.21 trillion ($2 billion) for its 2014 financial year, as against a profit of KRW 146.3 billion in FY 2013.

Full year revenue dipped 3% year-on-year to KRW 52.58 trillion. However, in the last quarter of 2014, HHI managed to narrow its deficit to KRW 37.9 billion from a loss of KRW 1.46 trillion in the third quarter.

Fourth quarter revenues went up 11.6 % from the previous quarter to KRW 13.8641 trillion, thanks to increased working days, receipt of change orders from clients and the progress of mega-sized EPC projects. However, in year-over-year (YoY) terms, HHI had a drop of 6.5 % in revenues as low oil prices hurt the refinery business.