HL Holdings Subsidiary's Cheongju Wolmyeong Park Apartment Construction Contract Up 7.5% to 205.4B KRW on Final Settlement... Revenue Confirmed Ahead of Completion
HL Holdings' subsidiary HL D&I Halla has filed a correction reflecting the final settlement for the 'Cheongju Heungdeok-gu Wolmyeong Park Apartment Construction Project' originally awarded in September 2020
Contract amount increased from 191.0B KRW to 205.4B KRW, a rise of approximately 14.4B KRW (7.5%), due to cost settlement upon completion (scheduled for May 31, 2026)
The contract value represents 15.74% of HL Holdings' consolidated sales (2019 base: 1.3T KRW), with construction running from July 2023 for 34 months
The project is a special urban park initiative where the developer Daesung I&D builds the park and donates it to Cheongju City, then sells apartments on the remaining land
This amendment finalizes the contract terms and period, confirming revenue recognition from the actual progress, which is a positive signal
[AI Comprehensive Analysis]The increase in construction cost comes from the final settlement upon completion, potentially boosting HL Holdings' cash flow and earnings. However, the payment condition marked as 'sale-based' (분양불) implies exposure to sales risks of the apartments, warranting caution.
KOSPI Filing Information
Filing: [Correction of Description] Conclusion of Single Sales and Supply Contract (Major Management Matters of Subsidiary)