Samsung C&T, the unit of construction, trading and fashion in Samsung Group, on Thursday posted 13.34 trillion won ($11.5 billion) in sales in 2015, with an operating profit of 37.1 billion won and a net profit of 2.6 trillion won.
However, the company, which was formed by merging the old Samsung C&T and Cheil Industries in September 2015, posted 89.1 billion won in operating deficit from September to December last year, the first quarter after the merger. Its sales stood at 7.2 trillion won in the same period, with a net loss of 161.7 billion won.
 |
| (Yonhap) |
The company said that the losses reflected a total of 2.6 trillion won in potential losses related to projects of the former Samsung C&T — 1.6 trillion won was attributed to the construction division, and the remaining 1 trillion won to the trading division.
“The results reflect estimated losses and contingent liabilities of 850 billion won for the Roy Hill project in Australia, and 150 billion won for the Balkhash power plant project in Kazakhstan. The results also take into account losses of 560 billion won in the value of oil projects due to the fall in oil prices, as well as 450 billion won in contingent liabilities concerning other projects,” said the company.
“By reflecting potential risks that may arise from the projects of the former Samsung C&T, the company aims to remove any uncertainties and focus on the future,” Samsung said.
Regarding the net profit and operating profits for the fiscal year of 2015, Samsung said the results reflect the re-evaluation of assets, including the biotechnology business after the merger, despite booking significant potential losses.
By Bae Ji-sook (baejisook@heraldcorp.com)
