HD Hyundai Marine Engine (071970) Q1 2026 earnings summary

Executive summary

• Revenue for Q1 2026 was ₩133.5 billion, up 61% year-over-year, driven by increased demand for ship engines and crankshafts.

• Operating income reached ₩32.6 billion, with net income attributable to controlling interests at ₩28.1 billion.

• The company maintained a strong cash position with ₩195.7 billion in cash and cash equivalents at quarter-end.

Financial highlights

• Gross profit for Q1 2026 was ₩40.7 billion, with a gross margin of 30.5%.

• Operating margin stood at 24.4%, and net margin at 21.1%.

• Basic EPS for the quarter was ₩830, nearly doubling from the previous year.

• Cash flow from operations was ₩33.5 billion, with significant investment in production capacity.

Outlook and guidance

• Continued investment in eco-friendly engine technology and production capacity expansion to meet rising global demand.

• Anticipates further growth driven by stricter environmental regulations and increased new ship orders.