DS Investment & Securities: "Doosan Could Add KRW 4.2 Trillion in Sales Through AI Electronic-Materials Expansion"

[Financial News]  DS Investment & Securities forecast that Doosan could generate approximately KRW 4.2 trillion in additional sales through large-scale expansion of its electronic-materials operations. The expansion is being driven by growing demand for network boards and optical modules used in artificial intelligence (AI) accelerators.
According to DS Investment & Securities and the Financial Supervisory Service's electronic disclosure system on the 17th, Doosan Electro-Materials BG's new investments total KRW 968.4 billion, including KRW 421 billion in South Korea and KRW 547.4 billion at its Changshu subsidiary in China. Doosan's board of directors approved the plan that day.
The Changshu expansion in China is an investment to meet rising demand for network boards used in AI accelerators.
DS Investment & Securities expects Unimicron and Victory Giant Technology (VGT) to be among the major customers going forward. Growing demand for optical modules and an expanding customer base for ASICs, or application-specific integrated circuits, were also cited as reasons for the expansion.
Including the expansion of two existing lines in Thailand, a total of 35 new lines are expected to begin operations in 2028-2029.
Kim Soo-hyun, head of DS Investment & Securities' Research Center, estimated that "additional sales based on 35 lines are expected to reach approximately KRW 4.2 trillion."
Meanwhile, Doosan also plans to cancel all of its treasury shares. The shares subject to cancellation are estimated to be worth approximately KRW 2.9 trillion at current market prices.
Securities analysts said the utilization rates of the new lines and the pace at which Doosan expands its customer base will determine the scale of earnings growth at its Electro-Materials BG.


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