(LEAD) Daewoo Engineering net plunges 60.7 pct in 2009

(ATTN: ADDS more details at para 4, 6-9)
By Nam Kwang-sik
SEOUL, Jan. 28 (Yonhap) -- Daewoo Engineering & Construction Co., South Korea's
fourth-largest builder, said Thursday that its net profit plunged 60.7 percent
last year from a year ago due to a slump in the local property market.

Net profit reached 970 billion won (US$834.4 million) in 2009 from 247 billion
won a year ago, Daewoo Engineering said in a regulatory filing.
Sales, however, rose 7.9 percent on-year to 7.1 trillion won in the period, with
operating profit down 36.2 percent to 219.5 billion won.
"The sluggish local property market hurt our earnings last year," Daewoo
Engineering said.
Shares of Daewoo Engineering closed at 11,800 won, down 0.84 percent from the
previous session on the Seoul bourse.
Daewoo Engineering expected its first-half profit to improve as high-profitable
overseas construction is slated to be completed within the first half of this
year.
The builder said its order backlog reached 34.35 trillion won as of the end of
last year, which represents nearly five years worth of work.
Daewoo Engineering is targeting 14.13 trillion won in orders, 7.55 trillion won
in sales and 424 billion won in operating profit this year by expanding its
overseas business.
At the end of last year, financially-troubled Kumho Asiana Group, the builder's
parent, agreed with its main creditor Korea Development Bank to sell a 50 percent
stake plus one share in the builder for 18,000 won per share to put the group
back on track.
ksnam@yna.co.kr
(END)

Delete & Prev | Delete & Next