Hyundai Heavy Industries, the world’s largest shipbuilder, said Tuesday it swung to a net loss in the second quarter from a year ago mainly due to a reserve for expected loss from large-scale projects and the stronger home currency.

Net loss came to 616.6 billion won ($601.7 million) in the April-June period, compared with a net profit of 66.8 billion won a year ago, the shipbuilder said in a regulatory filing.

Sales fell 2.1 percent to 12.81 trillion won in the period. The company also posted 1.11 trillion won in operating loss in the second quarter on-year.

“The main reason (for the sluggish second-quarter results) is a reserve for expected loss from large-scale construction projects such as offshore plants, which is about 500 billion won,” the company said in an emailed statement. (Yonhap)