Hyosung Heavy Industries boosts power equipment backlog
The company reported a consolidated operating profit of 416.6 billion won for the first half of 2026.
Hyosung Heavy Industries, a manufacturer of power equipment and construction services, recorded consolidated revenue of 3.05 trillion won for the first half of 2026. The company reported a consolidated operating profit of 416.6 billion won during the same period.
The heavy industry segment drove the majority of the company's performance, contributing 2.02 trillion won in revenue. This segment generated an operating profit of 492.9 billion won. The construction segment added 1.01 trillion won in revenue and 71.1 billion won in operating profit.
Demand for power equipment has led to a significant increase in the company's order backlog. The combined backlog for the heavy industry segment, including its major subsidiaries, rose to 23.83 trillion won as of June 30, 2026, from 15.94 trillion won at the end of 2025. This growth was supported by new orders totaling 11.01 trillion won during the first half of 2026.
Production activity remained high, with the combined capacity utilization rate for the heavy industry segment reaching 104.49% in the first half of 2026. This follows a rate of 104.15% for the full year of 2025 and 102.37% in 2024.
Financial positions shifted as the company expanded. Total consolidated assets grew to 8.56 trillion won by June 30, 2026, compared to 7.23 trillion won at the end of 2025. Total consolidated liabilities increased to 5.83 trillion won from 4.74 trillion won in the previous year.
Despite the growth in orders, the company faces regional market pressures. The company said that Nantong Hyosung Transformer faces risks from declining orders due to reduced investment in China and price competition from Chinese rivals. Similarly, Hyosung T&D India is exposed to profitability risks due to aggressive pricing strategies from European and Chinese competitors.