Doosan Enerbility's 3Q Operating Profit Falls 63% Due to Bobcat's Poor Performance

"Achievable Annual Order Target of 6.3 Trillion Won"

Doosan Enerbility announced on the 30th that its consolidated operating profit for the third quarter was 114.7 billion KRW, a decrease of 63.1% compared to the same period last year. During the same period, sales dropped 18.2% to 3.3955 trillion KRW, and net profit turned to a loss of 26.4 billion KRW.

In the bidding competition for the new Dukovany nuclear power plant in the Czech Republic, "Team Korea," led by Korea Hydro & Nuclear Power and consisting of Doosan Enerbility, Daewoo Engineering & Construction, and Korea Electric Power Technology, was selected as the preferred negotiator, defeating the French Electric Utility Company (EDF). The photo was taken on the 18th at Doosan Tower, Jung-gu, Seoul. Photo by Jinhyung Kang aymsdream@

Doosan Enerbility explained, "The decline in consolidated earnings was due to poor performance of Doosan Bobcat caused by uncertainty in infrastructure investment policies before the US presidential election and dealer inventory adjustments."

The Enerbility division's operating profit for the cumulative third quarter reached 180.6 billion KRW, a 3% increase compared to the same period last year. Profitability improved due to realization of high-margin project sales and a reduction in selling and administrative expenses. Net profit also reached 79.5 billion KRW, influenced by investment stock valuation gains from the rise in stock price of SMR (Small Modular Reactor) company NuScale.

Doosan Enerbility stated that it recorded cumulative third-quarter orders of 3.2 trillion KRW, mainly from domestic gas combined cycle main equipment and combined EPC, as well as short- and long-term services. Additionally, remaining orders such as Bundang cogeneration and Haman combined gas turbines are estimated at 3.1 trillion KRW by the end of the year, making it highly likely to achieve the annual target of 6.3 trillion KRW.

Regarding the Czech nuclear power plant order for which it was selected as the preferred negotiator in July, Doosan Enerbility said it is currently negotiating contract details and aims to sign a new nuclear EPC construction contract around March next year.