[Click eStock] "Jeonjin Construction Robot Maintains Steady Growth Centered on North America"

On May 23, DS Investment & Securities analyzed that Jeonjin Construction Robot is maintaining stable growth, particularly centered on the North American market.

Cho Daehyung, a researcher at DS Investment & Securities, offered a positive outlook, stating, "The North America-focused strategy is expected to continue this year, and export-driven growth will be sustained."

With the acquisition of MTR in November last year now reflected in consolidated earnings, Jeonjin Construction Robot's sales for the first quarter of this year reached KRW 48.9 billion, marking a 17.2% increase compared to the same period last year. Operating profit rose by 8.3% to KRW 8.7 billion, and the operating profit margin (OPM) was 17.7%. In its main business of CPC (concrete pump trucks), the company has maintained growth in overseas markets even though the domestic construction market has not yet recovered.

Notably, sales to North America alone reached KRW 25 billion in the first quarter, representing a 47% year-on-year increase. Researcher Cho commented, "Given the limited number of companies capable of addressing CPC needs in the North American construction equipment market, and with the expansion of infrastructure investment and data center restructuring pledged under a potential second Trump administration, the company is expected to continue benefiting."

Additionally, Jeonjin Construction Robot is considering expanding its local bases not only in North America but also in countries such as Turkiye and Ukraine to respond to growing global reconstruction demand. Researcher Cho explained, "By 2027, when the expansion of bases is expected to be completed, production capacity is projected to increase by approximately 35% compared to the current level. Even before securing new bases, production capacity has been steadily increasing due to the introduction of automation equipment and the replacement of outdated facilities."

With global CPC demand continuing to exceed supply, the expansion of Jeonjin Construction Robot's production capacity is likely to lead to upward revisions of performance estimates.

Accordingly, DS Investment & Securities forecasts Jeonjin Construction Robot's 2025 sales to reach KRW 205.2 billion, a 20.8% increase from the previous year. Operating profit is projected to grow by 24.4% to KRW 39 billion.

Researcher Cho stated, "When reconstruction projects become more concrete and the expansion is completed, another leap in performance is possible. The company is also diversifying its product lineup with plug-in hybrid CPCs and concrete distribution robots." He added, "There is sufficient momentum to further raise performance estimates."