[Click eStock] "Daemyung Energy, Profit Expected to Surge Next Year"

On the 22nd, SK Securities analyzed that Daemyung Energy's operating profit will surge next year.

Daemyung Energy recorded sales of 17.4 billion KRW and an operating profit of 900 million KRW in the third quarter of this year. Compared to the same period last year, sales increased by 45.9%, but operating profit decreased by 56.5%.

Naminsik, a researcher at SK Securities, explained, "Sales increased as we proceeded with the Gimcheon Wind Power (26MW) EPC project," adding, "Profitability declined due to increased raw material costs as the construction progressed." He continued, "The order backlog remained at a similar level to the previous quarter at 223.1 billion KRW," and added, "Starting from the third quarter, significant external growth is appearing."

Researcher Nam estimated, "Next year, sales will reach 123.9 billion KRW and operating profit 13 billion KRW," analyzing that these figures represent increases of 77.1% and 95.4%, respectively, compared to this year. He further stated, "Sales have been revised upward by 32.6% and operating profit by 10.7% compared to previous estimates," emphasizing, "There are many expectations beyond the core wind power business."

He explained, "By starting construction of the Gokseong Wind Power (42MW) and Anma Offshore Wind Power (532MW), these will be recognized as construction sales," and added, "The Jeju Island BESS project will begin construction next year." He judged, "The ESS construction period is one year, so a significant portion of the Jeju Island BESS project will be reflected next year."