Human & Technologies Corporation (South Korea)

Sales rose on previous year, thanks to increase in order for industrial plant, arising from favorable tune in the semiconductor and electrical and electronic biz segments, which are firm's forward industry. Net profit turned into deficit, because of declined non-operating balance, stemming from rapid increase in bad debt expenses, while firm's operating profit fell on previous year, owing to cost to sales ratio rise and expansion of selling and administrative expenses burden. Firm shows smooth fund flows, due to appropriation of required investment fund with fund coming in by paid in capital increase, while cash flows improved, owing to operating activities, stemming from ease in working capital burden. Stable biz revenue growth is projected, thanks to ample order balance thru active order winning activities. Profitability improvement is expected, because of removal of temporary expenses, although fierce competition in winning orders continues in the domestic small and medium sized industrial plant market, along with reflection of completed construction portion at overseas biz sites with low construction prices. Firm is likely to show smooth fund flows in view of liquidity security including collection of trade receivables, although burden to support affiliates along with overseas biz.