Samsung Heavy 4Q Net Profit Falls 59% on One-Off Costs

Samsung Heavy Industries Co. (010140.SE) said Wednesday its fourth-quarter net profit fell 59% as one-off costs related to an oil-leakage accident weighed the bottom line.
"As the company put aside 100 billion won ($92 million) worth of provisions related to the oil leakage accident (in 2007), it ate away at net income," the company said in a statement.
Net profit for the three months ended December 31 fell to KRW73 billion from KRW176.5 billion a year earlier, the statement said.
However, fourth-quarter sales and operating profit rose on orders for higher-end ships.
Operating profit rose 28% to KRW263.9 billion while sales were up 7.1% to KRW3.54 trillion.
"As orders for higher-end offshore facilities such as drill ships are on the rise, it helped offset orders of lower-end commercials ships the company received," said Samsung Heavy.
Full-year 2012 net profit fell 6.4% to KRW796.4 billion. Operating profit climbed 11% to KRW1.206 trillion and sales rose 8.2%
Source: Dow Jones