Daehan Cable said it posted its best-ever quarterly results, citing expanding global investment in power grids and rising demand for extra-high-voltage cables.
In a preliminary earnings filing on Tuesday, the company said consolidated first-quarter revenue totaled 1.0834 trillion won ($1.0834 trillion won), with operating profit of 60.4 billion won. Revenue rose 26.6% from a year earlier and operating profit jumped 122.9%.
The company said the figures were the highest since it began compiling consolidated quarterly results under Korean International Financial Reporting Standards in 2010. It also marked a second straight quarter with revenue above 1 trillion won, following 1.0090 trillion won in the fourth quarter of last year.
Daehan Cable said higher revenue from extra-high-voltage projects in key overseas markets, including the United States and Singapore, led the improvement. It cited rapidly growing global demand for power infrastructure as AI use expands and data centers increase.
Profitability also improved. The first-quarter operating margin was 5.6%, up 2.84 percentage points from the five-year average of 2.76%.
Orders continued to rise. New orders in the first quarter totaled 734.0 billion won, and the order backlog stood at 3.8273 trillion won at the end of the quarter. The company said the backlog was a record and more than 3.5 times larger than at the end of 2021, shortly after it joined Hoban Group.
Daehan Cable also held an investor relations briefing for institutional investors and analysts, highlighting its order win for an extra-high-voltage submarine cable project for a solar power development on Bigeumdo Island in Sinan, and its response status for the "West Coast Energy Expressway" project. The company said it plans to step up efforts in related markets based on its competitiveness in submarine cables and HVDC cables.
Its financial structure improved as well. The debt-to-equity ratio fell to 117.2% in the first quarter from 266% in 2021, and the current ratio was 143.7%.
A company official said the results reflected recognition in global markets for its technology and quality competitiveness, adding that Daehan Cable will continue strengthening competitiveness in strategic products such as extra-high-voltage grids, submarine cables and HVDC cables.
* This article has been translated by AI.
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