Kim Dong-kwan, vice president of Hanwha Solutions Corp. and the eldest son of Hanwha Group chairman Kim Seung-yun, has been appointed as a new executive director candidate.
Hanwha Solutions announced that Kim, who is in charge of the company’s Strategy Division, was appointed as a new internal director candidate at a board of directors meeting on Feb. 20. He was promoted to vice president late last year. He has also served as head of the Strategy Division of Hanwha Corp. since the beginning of this year.
Hanwha Solutions also announced the results of its business performance in 2019. It posted 9.5 trillion won in sales, up 5.1 percent from a year ago, 377.3 billion won in operating profit, an increase of 6.8 percent, and a net loss of 28.9 billion won due to the amortization of polysilicon facilities.
By business, the solar cell division posted 223.5 billion won in operating profit, recording profits for four consecutive quarters. This was the highest level on an annual basis since Hanwha entered the solar business in 2010. Its strategy was to increase the proportion of monocrystalline solar cells with high power generation efficiency and focus on major developed markets such as the United States, Europe, Japan, and Australia, where solar cell sales prices are relatively high. It paid off handsomely.
The Chemical Division’s operating profit plunged 52.4 percent on year to 174.9 billion won due to a global economic slowdown. The blame was put on a sharp drop in prices of flagship products such as polyethylene and PVC.
Hanwha Solution decided to withdraw from the polysilicon business which had been in the red for several years. As a result, the remaining value of polysilicon production facilities was counted in last year's earnings.
On the same day, the board of directors also decided to purchase and cancel 1 percent of total issued shares, and pay a dividend of 200 won per common share (250 won for a preferred stock). Treasury stock cancellation and dividends amounted to 63.1 billion won based on the previous day's closing price.
“We recorded a net loss in 2019, but decided to cancel stocks and pay dividends in order to continue our shareholder-friendly policy,” Hanwha Solutions said.