Doosan Enerbility, Turns to Profit.. Guidance 10.7 Trillion Achieved Smoothly

[Financial News] Doosan Enerbility's net profit turned to profit. It is expected that sales and operating profit will improve further in the second half due to an increase in the share of high-profit growth businesses. The plan is to smoothly achieve the guidance of 10.7 trillion won presented this year.
On the 25th, Doosan Enerbility announced a net profit of 197.8 billion won for the second quarter. It turned to profit from a deficit of 21.1 billion won in the first quarter.
On a consolidated basis, first-half sales increased by 0.8% year-on-year to 8.3176 trillion won. Operating profit decreased year-on-year to 413.6 billion won. Sales of Doosan Enerbility and Doosan Fuel Cell increased. Operating profit decreased year-on-year due to a decline in sales of Bobcat, but showed improvement in the second quarter.
Net profit was 176.7 billion won, recovering from a temporary deficit in the first quarter. From the second half, it is expected that continuous performance improvement will be achieved due to an increase in the share of high-profit growth businesses such as gas turbines and nuclear power.
In the Enerbility sector (including overseas subsidiaries), orders in the first half reached 3.7573 trillion won by winning gas power generation projects worth about 2.1 trillion won in the Middle East and Vietnam.
Main projects include the construction of the O Mon 4 gas combined cycle power plant in Vietnam (900 billion won), the supply of steam turbines and generators for the Saudi Gazlan 2 and Hajar expansion projects (340 billion won), and the construction of the Saudi PP12 (Power Plant 12) gas combined cycle power plant (890 billion won). The order backlog at the end of the first half was 16.0115 trillion won, an increase of about 1.3 trillion won compared to the same period last year.
A Doosan Enerbility official said, “In the second half, we expect further improvement in sales and operating profit due to an increase in the share of high-profit growth businesses,” adding, “We will strive to smoothly achieve the guidance of 10.7 trillion won presented this year by successfully promoting projects with high order potential, including the Czech nuclear power plant.”
Previously, Shinhan Investment Corp. had forecast Doosan Enerbility's second-quarter sales and operating profit to be 1.7 trillion won and 92.5 billion won, respectively.
A Shinhan Investment Corp. official said, "If the 3.8 trillion won Czech nuclear power plant included in this year's new order guidance is allocated, annual sales of 400 billion to 500 billion won will occur."

 


ggg@fnnews.com Kang Gugi Reporter