Source Fact: Financial Supervisory Service DART / 2025-02-27
Disclosure Type: Execution of Single Sales/Supply Contract
💡 3-Second Summary
Hanwha Ocean has amended its previous disclosure to increase the contract value for an offshore product upgrade project with its affiliate, Tidal Action LLC, from approximately KRW 264.8 billion to KRW 293.2 billion.
📊 1. [Summary of Key Disclosure Content and Major Figures]
- Target Document for Amendment: Execution of Single Sales/Supply Contract submitted on April 30, 2024
- Reason for Amendment: Change in contract amount
- Contract Name: Construction Order for Offshore Product Upgrade Project
- Amendments (Changes in Contract Amount and Ratio to Revenue):
- Contract Amount: (Before) KRW 264,800,000,000 → (After) KRW 293,200,000,000 (Increased)
- Proportion to Revenue (%): (Before) 3.6% → (After) 4.0%
- Exchange Rate & Revenue Standards: Calculated using the trading reference rate of 1 USD = 1,375.90 KRW as of April 29, 2024 (Rounded to the nearest KRW 100 million) / Recent revenue stands at KRW 7,408,300,000,000 (Based on the consolidated financial statements at the end of 2023)
- Counterparty & Shipping Region: Tidal Action LLC (Affiliate of Hanwha Ocean) / Americas region
- Contract Period: Start Date April 29, 2024 ~ End Date March 31, 2025
- Major Contract Terms: Down payment and advance payment exist; payment terms are structured as the 1st interim payment (20%) and the remaining balance (80%)
- Contract (Order) Date: April 29, 2024
📈 2. [Expert View: What This Disclosure Means for Investors]
This disclosure represents an official statutory amendment notifying that the quantitative conditions (contract amount) of the offshore product upgrade contract initially executed with the company’s affiliate in April 2024 have been modified. The adjustment increases the contract value to KRW 293.2B, which revisions the proportion relative to the consolidated recent revenue as of the end of 2023 from 3.6% to 4.0%, marking a 0.4 percentage point upward adjustment.
This document serves as factual evidence that the final transaction value of a previously executed construction contract has been updated. According to the notes within the text, this contract period and the final settlement amount carry a potential likelihood of changing again in the future during the execution process. The official disclosure does not state how this contract size increase will impact the company’s detailed quarterly operating profit margins, financing conditions, or future stock price trends, nor does it state the specific internal backgrounds of the value modification. Therefore, instead of assuming fundamental financial impacts or drivers using external sources, investors should interpret this disclosure focusing strictly on the revised contract value and its ratio relative to recent revenue.
📝 Editor’s Comment (by K-STOCK Editor)
Hanwha Ocean’s recent amendment establishes an upward adjustment of the final contract value to KRW 293.2B for the offshore product upgrade project conducted with its affiliate, Tidal Action LLC. For the construction project whose ratio relative to its 2023 consolidated revenue has been updated to 4.0%, the core fact remains that the transaction scale has been expanded.
The primary variable and checkpoint that investors need to keep in mind moving forward are potential updates to the disclosed numbers. As specified in the notes, the stated contract conditions remain subject to change later in the future during the execution process. Since prospective quantitative profit margin targets or potential schedule adjustments regarding the contract end date (scheduled for March 31, 2025) are not outlined in the original text, over-optimism derived from external assumptions should be avoided, and investors should rely strictly on the official metrics provided in this amendment filing as their primary checkpoint.
📢 Disclaimer & Source Information
Source: This content was newly structured and written based on official data submitted to the Financial Supervisory Service electronic disclosure system (DART).
Investment Risk Notice: This information is provided solely for informational and linguistic reference purposes. Under no circumstances does it constitute financial advice or a recommendation to buy or sell specific stocks. All investment decisions and financial responsibilities rest entirely with the investor.
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