DL E&C revises data center contract value to 489 billion won

DL E&C said Thursday it revised the value of a single sales and supply contract to 489 billion won ($354 million) following a correction filing. The adjusted figure covers the construction of a 64-megawatt IT load data center featuring four underground and eight above-ground floors in Gurae-dong, Gimpo.

The counterparty for the project is Digital Seoul 2 Ltd, with work scheduled to run from May 25 last year through May 31, 2028. The company originally signed the agreement on May 12 last year, and the revised contract amount now represents 5.9 percent of its recent annual revenue of 8.32 trillion won ($6.01 billion).

The builder reported new orders of 3.12 trillion won ($2.26 billion) in the second quarter, a 223.9 percent surge from a year earlier, even as quarterly revenue dipped 9.5 percent to 1.8 trillion won ($1.3 billion). Despite the slide in top-line sales, operating profit climbed 26.3 percent to 159 billion won ($115 million), pushing the operating margin to 8.8 percent.

An official attributed the earnings improvement to a management focus on internal stability over external expansion, noting that stabilized cost ratios in the housing sector drove performance. As a core construction subsidiary of DL Group, the company's operations span civil engineering, housing, and plant sectors.

"DL Group has secured the capabilities and know-how to meet the needs of global enterprises through diverse execution experience ranging from land discovery and permitting to construction, major equipment procurement, and final commissioning," a company official said. "We plan to actively pursue additional orders based on our global technological expertise."