[Edaily Reporter Kim Hyung-il ] Energy infrastructure company BHI Co., LTD.(083650)has surpassed last year’s full-year earnings on a cumulative basis through the third quarter of this year. Operating profit rose significantly as revenue recognition from large-scale projects gained momentum, and net profit also surged, reflecting valuation gains on derivatives resulting from stabilized exchange rates.

BHI Co., LTD. announced on the 13th that its cumulative consolidated revenue for the first three quarters of this year reached 863.6 billion won, a 69.6% increase compared to the same period last year. During the same period, cumulative operating profit rose 136.7% to 121.1 billion won, and net profit increased 109.5% to 105.2 billion won. This means that the cumulative results for the first three quarters have already surpassed last year’s full-year results.

Third-quarter results on a non-consolidated basis also improved significantly. Revenue reached 286.5 billion won, an increase of approximately 40% compared to the same period last year. Operating profit was 40.3 billion won, and net income was 79.8 billion won, up 119.7% and 584.2%, respectively. BHI Co., LTD. explained that both operating profit and net income exceeded market expectations, marking the company’s seventh consecutive quarter of an earnings surprise.

The increase in net income was influenced by stabilizing exchange rates and the reversal of derivative valuation losses. The improvement in net income was particularly significant as the derivative valuation losses incurred through the first half of the year were fully reversed into valuation gains in the third quarter.

Companies with a high proportion of exports utilize derivative contracts, such as currency forwards, to mitigate the risk of exchange rate fluctuations that can occur between the time an order is secured and the time payment is received. BHI Co., LTD. has also responded to fluctuations in the foreign exchange market through its exchange rate hedging strategy.

The increase in operating profit is attributed to the full-scale recognition of revenue from large-scale projects. As global power demand expands due to growth in high-power industries—including artificial intelligence (AI)—revenue recognition from orders secured by BHI Co., LTD. over the past few years has increased. BHI Co., LTD. has expanded its domestic and international order intake in the energy infrastructure sector, including liquefied natural gas (LNG) and nuclear power plants.

The company is also advancing technological development in future energy sectors. In the green hydrogen sector, it has successfully localized 2MW-class alkaline electrolysis stacks and related systems, and its Carnot battery—a long-duration energy storage system—has entered the basic design phase. The strategy is to secure competitiveness in eco-friendly energy technologies while expanding orders for existing energy infrastructure projects.

BHI Co., LTD. stated, “As revenue recognition for previously secured large-scale projects proceeded without a hitch, we achieved results that surpassed last year’s full-year performance on a cumulative basis through the third quarter of this year,” adding, “Net income also improved significantly, thanks to an aggressive foreign exchange hedging strategy and the stabilizing effect of exchange rates.”

The official continued, “As global electricity demand is expected to continue growing, we are also continuing to develop technologies in preparation for the era of eco-friendly and decarbonized energy,” and added, “We will create new business opportunities by capitalizing on the demand for replacing aging power infrastructure and by pioneering new markets such as small modular reactors (SMRs).”