Daewoo Shipbuilding & Marine Engineering Co Ltd
KRX:042660
Daewoo Shipbuilding & Marine Engineering Co Ltd
Daewoo Shipbuilding & Marine Engineering Co., Ltd., often recognized by its acronym DSME, has long stood as a formidable presence in the global maritime industry. Nestled in the bustling coastal enclave of Geoje, South Korea, DSME has carved its path by crafting some of the world's most sophisticated and colossal vessels. With its roots stretching back to the early days of South Korea's industrialization, the company emerged from the conglomerate Daewoo Group before charting its independent course. DSME's prowess lies in its cutting-edge technology and expertise in constructing commercial ships, offshore platforms, and naval ships. From towering container ships to robust tankers and intricate submarines, DSME’s shipyards hum with the precision choreography of high-tech engineering and skilled craftsmanship, producing behemoths that punctuate the seascape worldwide.
Integral to DSME's revenue model is its ability to secure large-scale contracts and deliver complex engineering projects on time. These contracts often involve long-term collaboration with multinational corporations and governments, enabling DSME to maintain a healthy project pipeline. The company thrives on its reputation for quality and reliability, which underscores its market position despite facing intense competition from fellow South Korean and Chinese shipbuilders. The company’s innovative streak is evidenced in its investments in eco-friendly shipping technologies, responding to the global imperative for sustainable maritime solutions. By embracing these advancements, DSME not only enhances its offering portfolio but also navigates the shifting regulatory landscapes, ensuring its continued financial buoyancy in the cyclical and often tumultuous waters of the shipbuilding industry. Through continual adaptation and strategic foresight, DSME endeavors to anchor itself firmly in the future of maritime engineering.
Daewoo Shipbuilding & Marine Engineering Co., Ltd., often recognized by its acronym DSME, has long stood as a formidable presence in the global maritime industry. Nestled in the bustling coastal enclave of Geoje, South Korea, DSME has carved its path by crafting some of the world's most sophisticated and colossal vessels. With its roots stretching back to the early days of South Korea's industrialization, the company emerged from the conglomerate Daewoo Group before charting its independent course. DSME's prowess lies in its cutting-edge technology and expertise in constructing commercial ships, offshore platforms, and naval ships. From towering container ships to robust tankers and intricate submarines, DSME’s shipyards hum with the precision choreography of high-tech engineering and skilled craftsmanship, producing behemoths that punctuate the seascape worldwide.
Integral to DSME's revenue model is its ability to secure large-scale contracts and deliver complex engineering projects on time. These contracts often involve long-term collaboration with multinational corporations and governments, enabling DSME to maintain a healthy project pipeline. The company thrives on its reputation for quality and reliability, which underscores its market position despite facing intense competition from fellow South Korean and Chinese shipbuilders. The company’s innovative streak is evidenced in its investments in eco-friendly shipping technologies, responding to the global imperative for sustainable maritime solutions. By embracing these advancements, DSME not only enhances its offering portfolio but also navigates the shifting regulatory landscapes, ensuring its continued financial buoyancy in the cyclical and often tumultuous waters of the shipbuilding industry. Through continual adaptation and strategic foresight, DSME endeavors to anchor itself firmly in the future of maritime engineering.
Strong Revenue Growth: Hanwha Ocean reported KRW 12.69 trillion in 2025 sales, up 18% year-on-year, driven mainly by commercial vessels and LNG carrier sales.
Significant Profit Increase: Operating profit for 2025 reached KRW 1.11 trillion, marking 366% growth YoY due to higher-margin products and cost reductions.
Mixed Q4 Results: Q4 2025 sales rose 7% QoQ to KRW 3.23 trillion, but operating profit fell 35% QoQ to KRW 189 billion due to incentive payouts and higher overheads.
Net Income Boosted by Tax Refund: Net profit in Q4 benefited from a KRW 400 billion deferred tax asset refund.
No Dividend for 2025: Despite improved profitability, no dividend will be paid for 2025 as cash is prioritized for investments.
Order Book Robust: Company secured 50 vessel orders in 2025 worth USD 9.55 billion, despite global order volume decline.
Steady 2026 Outlook: Management expects 2026 revenue to be comparable to 2025, with some variability tied to investments and project deliveries.
Potential Upside from Litigation: Two ongoing lawsuits could add up to KRW 150 billion to revenue and profit if outcomes are favorable.
