LS Marine Solution aims to leap forward in 2024

LS Marine Solution’s GL2030 submarine cable-laying barge / Courtesy of LS Marine Solution

LS Marine Solution plans to expand its global submarine power cable construction business through the acquisition of new cable-laying vessels in 2024, according to the maritime project developer, Tuesday.

The company said it plans to invest between 150 billion won ($115.5 million) and 200 billion won next year to introduce a 10,000-ton cable-laying vessel.

Currently, LS Marine Solution owns three vessels — a GL2030 submarine cable-laying vessel as well as an 8,000-ton ship and a 2,000-ton one.

“With the introduction of a new vessel, the number of cable-laying vessels we own will increase to four," a company spokesperson said. "With an additional vessel, we plan to significantly expand our global submarine power cable construction business."

The company also plans to increase the cable loading capacity of the GL2030 from between 4,000 tons to 5,000 tons up to more than 6,000 tons.

In addition, LS Marine Solution will introduce remotely operated vehicle (ROV) robots for use in laying submarine cables.

"We are planning to equip ourselves with 1,500-horsepower ROVs instead of the current 1,000-horsepower ROVs," the company said.

Once the planned investment is completed, LS Marine Solution is expected to become one of the global leading submarine cable construction companies.

Based on the investment, the company aims to achieve a revenue of more than 100 billion won next year.

Until the third quarter of this year, the company logged 46.6 billion won in sales, 11.1 billion won in operating profit and 9.9 billion won in net profit. Sales exceeded last year's annual performance of 42.8 billion won in just nine months, and operating profit and net profit reached record levels. The operating profit margin until the third quarter was at 23.8 percent.

Given the construction of domestic offshore wind farms is on the rise, the industry view is that LS Marine Solution should continue its steady performance growth. LS Marine Solution also can appeal to customers with its value chain – receiving cables from its mother company LS Cable and System (C&S) and conducting construction. (Advertorial)