Doosan Bobcat Achieves Operating Profit of 316.9 Billion KRW in Q3, Up 144% Year-on-Year

[Asia Economy Reporter Jeong Dong-hoon] Doosan Bobcat announced on the 28th through a public disclosure that its consolidated third-quarter performance recorded sales of 2.3789 trillion KRW and operating profit of 316.9 billion KRW, representing increases of 54% and 144% respectively compared to the previous year.

According to the company, the third-quarter operating profit margin rose by 5 percentage points year-on-year to 13.3%. This significant growth compared to the same period last year was driven by increased sales due to improved parts supply, price hikes in the North American region, and efficient promotion cost execution, with the weak Korean won further amplifying the increase.

Based on the dollar, the currency used for Doosan Bobcat’s financial statements, sales amounted to 1.786 billion USD (up 33.2% year-on-year), and operating profit was 238 million USD (up 113.9% year-on-year). This marked the continuation of double-digit operating profit margins for three consecutive quarters. The operating profit margins were 11.8% in Q1, 14% in Q2, and 13.3% in Q3 this year. Doosan Bobcat acquired Doosan Industrial Vehicle in July last year. This third quarter is the first quarter in which performance including Doosan Industrial Vehicle can be compared under the same conditions as the previous year.

In this quarter, Doosan Bobcat showed balanced growth across all product lines. Compared to the same period last year, the compact segment, which covers construction, agriculture, and landscaping small equipment, increased sales by 32%, portable power by 40%, and industrial vehicles by 37%. Within the compact segment, GME (agriculture and landscaping equipment) grew 71% year-on-year in North America.

By region, North America achieved the largest growth of 48% due to increased demand and price hikes. EMEA (Europe, Middle East, and Africa) saw a 1% decrease in dollar-denominated sales, but excluding currency effects, it grew 14% year-on-year due to partial resolution of parts supply delays. In ALAO (Asia, Latin America, and Oceania), sales increased by 8% influenced by economic revitalization policies in South America including Brazil and Mexico, and excluding currency effects, the growth rate was 20%.

A Doosan Bobcat official stated, "While demand for existing compact products such as loaders and excavators remains strong, we have completed the expansion of the Statesville plant in North Carolina, laying the foundation for expanding the GME business, and portable power and industrial vehicle products are also showing strong sales."