[Click eStock] "BHI, Possibility of Achieving Record-High Orders Increases"

On the 5th, KB Securities forecasted that the power equipment company ‘BHI’ is highly likely to secure the largest order in its history. BHI is engaged in the design, manufacturing, installation, and construction of power generation equipment necessary for power plants and steelmaking processes. It also operates in the nuclear power auxiliary equipment business.

Han Jeyoon, an analyst at KB Securities, said, "In the first half of this year alone, they secured new orders worth approximately 440 billion KRW," and added, "If orders related to domestic and overseas LNG plants continue, it is expected to surpass or approach the record maximum order amount of 8.3 trillion KRW set in 2012."

The analyst also noted, "Orders for Heat Recovery Steam Generators (HRSG) are expected to start being recognized as revenue from the third quarter of this year," and predicted, "Depending on the order performance in the second half, additional growth next year can also be expected."

He stated, "If Korea Hydro & Nuclear Power (KHNP) wins the bid for the four-unit nuclear power plant project in the Czech Republic, the possibility of participating in nuclear power projects in other countries will increase," and expressed hope that "the bidding for auxiliary equipment for the Poland nuclear power project, won by Westinghouse, could be completed within this year." It is analyzed that BHI has a high possibility of related orders due to its past successful references for Westinghouse deliveries and strengths in price competitiveness.

He continued, "The results of the bidding for Shin Hanul Nuclear Power Plant Units 3 and 4 are expected to be announced around August to September," explaining, "If successful in securing the order, it will secure another large-scale nuclear power plant order reference." However, he added a caveat, "Due to the nature of the order industry, there are variables such as order amount and timing, making it difficult to predict the likelihood of securing orders."