Doosan Bobcat

Doosan Bobcat Earns First Domestic Credit Rating…’AA- Stable’ from Korea Ratings

Doosan Bobcat has been acknowledged for its business stability and excellent profitability in its first domestic credit rating evaluation.
Doosan Bobcat Inc. announced on June 5th that it received an AA- (Stable) Issuer Credit Rating for corporate credit from Korea Ratings. This is the first time Doosan Bobcat has earned a corporate credit in Korea.
Korea Ratings assigns an AA rating to companies with excellent credit status and very low risk of default. Doosan Bobcat was recognized for its top-tier global market position, high level of brand awareness, and stable profitability, earning an AA rating in its first assessment.
As of the end of last year, Doosan Bobcat recorded an EBITDA margin of 13% and a debt-to-equity ratio of 74%. As a leading brand in the North American compact equipment market, it has been operating a stable business with an average annual sales growth of 15% and operating profit growth of 18% over the past five years.
A Doosan Bobcat official stated, “Receiving an AA- (Stable) rating in our first domestic corporate credit evaluation has significantly strengthened our external credibility. With this foundation in place, we will further solidify our business competitiveness through balanced capital management despite market uncertainties by diversifying our funding options.”

2025-06-05

Doosan Bobcat Reports Q1 Operating Profit of $138M…Operating Profit Margin at 9.5%

Doosan Bobcat announced its first-quarter results on April 28. Due to the high base effect from the previous year and economic uncertainties, revenue was down 20% year-over-year, recording $ 1,444 million. The Operating profit decreased 44% year-over-year to $138 million with a 9.5% margin.
Sales fell by 6% compared to the previous quarter due to seasonal effects, but operating profit increased by 8% thanks to reduced logistics costs and price increases. Operating profit has improved for two consecutive quarters, rebounding from $92 million in Q3 last year.
Due to economic uncertainties and concerns over a potential recession, demand slowed, leading to a 20% drop in sales across products and regions compared to the previous year. (YoY Sales by product: Compact Equipment -22%, Material Handling -20%, Portable Power -22% / YoY Sales by region: North America -22%, Europe, Middle East and Africa -21%, Asia, Latin America, and Oceania -21%)
A Doosan Bobcat representative stated, "Although uncertainties related to reciprocal tariffs have increased, we anticipate advantages from having local production bases in the U.S. The high base effect from Q1 last year makes the year-on-year decrease appear larger, but the Q1 performance this year aligns with the company's target."
Earlier on the 24th, Doosan Bobcat announced that the Q1 dividend would be set at KRW 400 per share. Based on the corporate value enhancement plan established last year, Doosan Bobcat designated an annual minimum dividend of KRW 1,600 and announced a shareholder return ratio of 40% of consolidated net income. After the announcement, the company canceled treasury shares worth KRW 200 billion.

2025-04-28

Doosan Bobcat Enters 'Battery Pack' Business, Accelerating Vertical Integration of Core Components

Doosan Bobcat is accelerating the internalization and vertical integration of core components by securing proprietary technologies for battery packs used in compact construction equipment and forklifts.
Doosan Bobcat and LG Energy Solution announced on March 19th that they have signed a Memorandum of Understanding (MOU) for the development of 'battery pack solutions for compact construction equipment.'
Through this MOU, the two companies will collaborate for standardized lithium battery packs and solutions for compact construction equipment and supply them to key markets including North America. Specifically, LG Energy Solution will provide lithium-ion battery cells or modules, while Doosan Bobcat will add battery management systems and package them to standard battery packs optimized for compact construction equipment. The companies will also discuss expanding the battery packs and solutions from construction equipment such as loaders and excavators to agricultural and landscaping equipment like tractors.

Hyunchul (Charlie) Park, CSO and Executive Vice President of Doosan Bobcat, stated, "We are pleased to develop battery packs for compact construction equipment on the back of excellent quality and stability of LG Energy Solution's cells," explaining the significance of the MOU. He added "We will standardize battery packs for compact construction equipment and provide solutions to major markets such as North America."
“We are excited to collaborate with Doosan Bobcat, a global leader in construction equipment, to develop electrification technologies and expand our business in this vitally important sector,” said Yooseong Oh, Senior Vice President and Head of LG Energy Solution’s Mobility & IT Battery Division. “We remain deeply committed to leading the challenge of electrifying various industries.”
Doosan Bobcat has been consistently working on the internalization of battery packs, which are directly connected to the performance of electrified equipment. Since 2023, the company has been collaborating with China's global lithium-ion battery company 'CosMX.' They have developed battery packs with enhanced stability and performance, and have been incorporating these into electric forklifts for sale since last year.

Last month, Doosan Bobcat and CosMX formalized their partnership by signing a Technical Assistance Agreement (TAA) to expand the collaboration. Through this agreement, Doosan Bobcat will receive initial training from CosMX on battery pack design and manufacturing techniques applicable to various products, securing proprietary technologies.
Additionally, Doosan Bobcat established a dedicated team for the battery pack business in January and plans to set up an R&D center. The R&D center, expected to be completed in the second half of this year and located in Pyeongchon, Anyang City, Gyeonggi Province, South Korea, will conduct technical validation for battery pack manufacturing.
With this move, Doosan Bobcat accelerates vertical integration of core components, including the acquisition of the hydraulic component specialist Doosan Mottrol last year and now entering the battery pack business. CSO Park said, "By vertically integrating the battery pack business following hydraulics, we have strengthened our competitiveness in core components, preparing for electrification as well as traditional industrial equipment," and added, "We plan to develop optimal battery packs by collaborating with leading global companies and apply them to various types of compact equipment."


About Doosan Bobcat Inc.
Doosan Bobcat Inc. represents the world-renowned Bobcat® equipment brand — a leader in the engineering, innovation, manufacturing and marketing of compact construction, landscaping and grounds maintenance equipment, forklifts and materials handling equipment, generators, air compressors, light towers, light compaction equipment, attachments and components.
Doosan Bobcat is a company within Doosan Group. Doosan Group is a top-tier global enterprise proudly serving customers and communities for more than a century.
About LG Energy Solution
LG Energy Solution (KRX: 373220), a split-off from LG Chem, is a leading global manufacturer of lithium-ion batteries for electric vehicles, mobility, IT, and energy storage systems. With 30 years of experience in revolutionary battery technology and extensive research and development (R&D), the company is the top battery-related patent holder in the world with over 69,600 patents. Its robust global network, which spans North America, Europe, and Asia, includes battery manufacturing facilities established through joint ventures with major automakers. Committed to building sustainable battery ecosystem, LG Energy Solution aims to achieve carbon neutrality across its value chain by 2050, while embodying the value of shared growth and promoting diverse and inclusive corporate culture. To learn more about LG Energy Solution’s ideas and innovations, visit https://news.lgensol.com/
About CosMX
COSMX is one of the worldwide major suppliers of Li-ion batteries, and has long served for world's well-known customers in the fields of PCs, laptops, tablets, smart phones, smart wearables, power tools, drones and other fields.
For more information, visit http://www.cosmx.com

2025-03-19

Doosan Bobcat Holds Investor Day… "2030 Revenue to Reach 12 billion USD through Organic Growth and M&A"

Doosan Bobcat announced that it held an Investor Day event on February 10th at the Korea Exchange in Yeouido, Seoul, targeting domestic securities analysts and institutional investors.
This is the first time Doosan Bobcat has held an Investor Day event since its listing on the Korea Exchange in 2016. The co-representative executives, CEO and CFO of Doosan Bobcat, presented the company’s key management strategies, 2024 financial performance, and 2025 outlook at the event.
CEO and Vice Chairman Scott Park, the first presenter, explained Doosan Bobcat’s growth strategy.
Park cited four core competencies that have established Doosan Bobcat as a leading manufacturer in the compact equipment sector:

Product Excellence through a diversified portfolio, while offering the most attachments in the industry
Global Sales Network based on solid partnerships
Global Manufacturing Footprint optimized for the demand of each region
Innovation Advancements that pioneered the compact equipment market and continue to accelerate it forward

Based on these competencies, Doosan Bobcat plans to drive future growth in the mature construction equipment market through M&A and innovation.
Park said, “Since our listing in 2016, both scale and profitability have doubled. Especially over the past five years—during which we actively pursued M&As—we achieved high growth with an annual average sales increase of 15% and an operating profit of 18%, through acquisitions in adjacent business areas such as mowers and forklifts.” He added, “Based on these successful experiences, we will continue to innovate and grow existing businesses while also pursuing inorganic growth through M&As to achieve an annual growth rate of 11%, driving toward our goal of 12 billion USD (16 trillion KRW) in revenue by 2030.”

Park’s presentation was followed by CFO and executive vice president Duckje Cho with last year’s annual performance and this year’s outlook.
In 2024, Doosan Bobcat recorded annual sales of 6.269 billion USD, a 16% decrease from 2023, and an operating profit of 639 million USD, a 40% decrease from 2023 results. (According to the KRW income statement, the decline was reduced to -12% and -37% respectively, due to the weaker KRW against the dollar.)
Cho said, “The compact construction equipment market is showing a gradual recovery and is expected to rebound from the second half of this year, with annual demand expected to be similar to 2024.” He provided guidance for 2025, forecasting annual sales of 6.4 billion USD and an operating profit of 600 million USD. This represents a 2% increase in sales and a 6% decrease in operating profit compared to last year. Additionally, he emphasized, “The shareholder return rate of 40% included in the value-up program announced in late 2024 marks the highest level in the Korean machinery industry.” He added that “we are nearing the completion of the promised 200 billion KRW share buyback, and a decision will be made to cancel the shares within a month.”

2025-02-11

Doosan Bobcat Reports $6.3 Billion in Revenue with 10.2% Operating Profit Margin for 2024

Doosan Bobcat announced on February 10th that last year’s annual revenue was $6.269 billion, and its operating profit was $639 million.
Due to the downturn in the construction equipment market, revenue and operating profit decreased by 16% and 40%, respectively, compared to the previous year, and the operating profit margin was calculated to be 10.2%.
Sales also declined by product and region due to depressed demand. By product, compact equipment decreased by 15%, material handling by 22%, and portable power by 16%. By region, North America declined by 17%, EMEA by 21%, and ALAO by 5%.
In the fourth quarter, revenue decreased by 13% and operating profit by 34% year-over-year due to last year's high base effect, but compared to the previous quarter, revenue increased by 17% and operating profit by 40%.
Doosan Bobcat expects product demand to continue to be deferred under high-interest rates and provided guidance for 2025 of $6.4 billion in revenue, a slight increase of 2% from the previous year, and $600 million in operating profit, a 6% decrease due to the deterioration in profitability from diversification of sales channels.
On the same day, Doosan Bobcat resolved at the board of directors meeting to pay a year-end dividend of 800 won per share, which is scheduled to be paid within one month from the annual general meeting of shareholders. The yearly total dividend per share for 2024, including a quarterly dividend, is 1600 KRW.

2025-02-10