Samsung in $1bn Shipbuilding Loss

Big three South Korean shipbuilder Samsung Heavy Industries (SHI) has reported a net profit loss of around US$1 billion as a result of a slump in demand, as well as construction delays within the offshore industry, according to World Maritime News.

This sharp twist of fate sits in comparison to the more than $121 million profit the company recorded in 2015.

In Seatrade Maritime, an unnamed SHI official said: “As offshore facilities projects went smoothly, we were able to generate an operating income during Q4, 2015.”

SHI recently announced a record-breaking move, in which it had agreed to enter into a contract with Mitsui O.S.K. Lines to construct four 20,150 TEU containerships.

This was followed by a gloomy period for the big three shipbuilders, including SHI, who were all in line to see harrowing financial losses in Q2, 2015 which has now been confirmed for the total year.