Hanwha Q Cells, the solar power business unit of Hanwha Group, posted record-high earnings in the third quarter on the back of successful business conditions and drops in manufacturing costs, the company announced Friday.

The leading photovoltaic solar module manufacturer posted $427.2 million in net revenue and an operating profit of $40.3 million in the July-September period, marking significant improvements from its second-quarter performance.

While the firm’s net revenue grew by 26.4 percent in the third quarter, its operating profit became 40 times greater than profits in the previous quarter, which had stood at around $1 million.

Though Hanwha’s solar business had remained unprofitable for four years from 2011 to 2014, business began to pick up after its two units -- Hanwha SolarOne and Hanwha Q Cells -- merged to form Hanwha Q Cells in February, rising up as the world's No. 1 solar module producer.

Since swinging back to recovery in the second quarter on the back the successful merger, Hanwha Q Cells has been seeing a major turnaround in sales, the company said in a statement.

The company accredited its third-quarter success to successful post-merger business restructuring, stable operations at its manufacturing sites in Korea, Malaysia and China and efficient production methods that have led to lower manufacturing costs.

Hanwha also noted that its continued efforts to further expand its overseas business — targeting not only developed states like the U.S. and Japan but also developing countries including India — will fuel continued growth in the future.

“Hanwha Q Cells will seek to embark onto more global markets on the back of our record-high quarterly earnings, set to continue on an upward path,” said the company’s chief financial officer Seo Jung-pyo.

By Sohn Ji-young (jys@heraldcorp.com)