Hanwha Solutions said on Wednesday it posted third-quarter consolidated sales of 3.95 trillion won and operating profit of 90.5 billion won. Sales rose 17.4 percent from a year earlier, and operating profit swung to black from an operating loss of 7.4 billion won in the third quarter of last year. The operating margin was 2.3 percent.

Compared with the previous quarter, both sales and profitability declined. The company stayed in the black for the quarter. Sales fell 13.8 percent from the second quarter and operating profit dropped 70.5 percent, while net profit was 68.5 billion won, down 76.6 percent from 292.9 billion won in the second quarter.

The renewable energy division posted sales of 2.16 trillion won and operating profit of 105.1 billion won, accounting for more than half of total sales. The company said it maintained its profit trend on higher module sales to the United States and improved profitability in its residential energy business.

The chemicals division posted sales of 1.34 trillion won and an operating loss of 44.7 billion won. Weak product prices continued on a shrinking geopolitical risk premium and falling international oil prices, and profitability weakened as the effect of reverse lagging from the use of high-priced raw materials added to the pressure.

The advanced materials division's operating profit offset the loss in the chemicals division. The advanced materials division posted sales of 291.9 billion won and operating profit of 38.9 billion won. Higher production volumes by key customers for lightweight composite materials in North America and stable sales of solar materials led to the increase in operating profit.

CFO Jaebin Lee (이재빈) of Hanwha Solutions said, "As Solar Hub operations ramped up in earnest, we achieved operating profit for three consecutive quarters, centered on the renewable energy division." He said, "In the fourth quarter, module selling prices are expected to keep rising depending on changes in U.S. trade policy, but we expect short-term earnings volatility due to the time lag in reflecting selling prices and schedule and cost fluctuations in EPC projects."