Doosan Bobcat

Doosan Bobcat Reports Operating Profit of 1.4 Trillion Won Last Year... 'All-Time High'

On the 7th, Doosan Bobcat announced that it recorded annual sales of 9.7589 trillion won, operating profit of 1.3899 trillion won, and an operating profit margin of 14.2% last year, based on consolidated financial statements. Compared to the previous year, sales and operating profit increased by 13% and 30% respectively, achieving the highest performance once again.


Doosan Bobcat attributed the background of last year's performance to robust product demand and resolution of supply issues in the North American region. Sales in North America, which accounts for more than 70% of total sales, drove the growth with a 15% increase, while EMEA (Europe, Middle East, Africa) achieved a 7% increase and ALAO (Asia, Latin America, Oceania) recorded 2% decrease.


By product, there was steady growth throughout all product categories year-on-year with sales increase in compact equipment by 10%, material handling (former industrial vehicle) by 19%, portable power by 26% (based on dollar terms).


Based on the cash generated from the strong performance, Doosan Bobcat continued its net cash trend following the third quarter of last year, achieving a debt ratio of 74%.


In the fourth quarter of last year, sales decreased by 3% year-on-year to 2.3156 trillion won, while operating profit increased by 2% to 2.561 billion won.


For the annual performance outlook in 2024, Doosan Bobcat presented sales of 9.3441 trillion won and operating profit of 1 trillion won. As deferred demand diminishes, the company predicts the market will shift towards consumer-centric, leading to a slight decrease in sales. Profitability is also expected to decline due to the base effect from the previous year’s one-off profits and increased expenses such as in marketing, R&D, etc.


On the same day, Doosan Bobcat resolved at the board of directors meeting to pay a year-end dividend of 800 won per share, and in line with the 'improved dividend procedure' adopted last year, base date for the dividend was set for March 29th.

2024-02-07

Doosan Bobcat Rolls-out First Hydrogen Fuel Cell Forklift, Marking the First Step Toward Commercialization in Korea

Doosan Bobcat has taken a first step towards pioneering the commercialization of hydrogen fuel cell forklifts in Korea.


On January 31, Doosan Bobcat announced the roll-out of its inaugural hydrogen forklift at a ceremony held at its Incheon forklift factory on the 30th. The event was attended by Hyungwon Park, President of Doosan Bobcat Korea and Regional Head of Asia, Latin America, and Oceania, alongside other company executives; Changheum Lee, Deputy Minister of Climate Change and Carbon Neutral Policy Office at the Ministry of Environment of ROK; Heesu Kim, Director of the Korea Construction Equipment Technology Institute (KOCETI); and Youngbum Kum, Executive Director at Hyundai Mobis, which collaborated on this development of the first  hydrogen fuel cell forklift unit to be commercialized.


This hydrogen fuel cell forklift from Doosan Bobcat is a 3-ton model equipped with a 20-kW fuel cell and is set for delivery to the Korea Zinc’s Onsan refinery in Ulsan, Korea. While prototypes of hydrogen fuel cell forklifts have been previously introduced in the industry, Doosan Bobcat marks the first to complete development and have a commercially viable product ready for shipment.


"As Korea’s first manufacturer to produce forklifts in 1968, Doosan Bobcat is proud to continue paving the way for the country by commercializing hydrogen fuel cell forklifts," stated Hyungwon Park, president of Doosan Bobcat Korea. He added, "We are committed to actively participating in the expansion of hydrogen mobility, as it’s a pivotal future energy source in the low-carbon era."


Currently engaged in the Ministry of Trade, Industry and Energy's pilot project “to develop demonstration-based reliability verification technology for hydrogen fuel cell forklift commercialization,” Doosan Bobcat is also exploring opportunities for hydrogen fuel cell forklift expansion with various companies and local governments. The company has set a target to supply 30 hydrogen forklifts in 2024, following the certification of a 3-ton model with a 10-kW fuel cell later this year.


Furthermore, plans are underway to diversify the hydrogen forklift range with 2- and 5-ton models while efforts are being made to broaden the company's portfolio of hydrogen-based products, including hydrogen skid-steer loaders, currently under development with Doosan Corporation.

2024-01-31

Doosan Bobcat Expands Global Manufacturing Footprint with New Facility in Monterrey, Mexico

Doosan Bobcat is expanding its production capacity to meet the demand for construction equipment in the North American market.


On November 8th, Doosan Bobcat announced that it will build a new manufacturing facility in Monterrey, Mexico, with an investment of approximately KRW 400 billion (US$300 million).


The Monterrey plant, which will be approximately 65,000 square meters in size, will produce Doosan Bobcat's M-Series compact loaders and supply them to North America. Meanwhile, the plant in Gwinner, North Dakota, U.S., which currently produces the product, will focus on producing the R-Series compact loaders.


Doosan Bobcat expects the Monterrey plant to become operational by early 2026. By establishing the new facility while optimizing production efficiency at existing ones, Doosan Bobcat will be able to boost its compact loader production capacity for the North American market by 20%, thereby enabling the company to respond more swiftly to market demand.


"Over the past five years, Doosan Bobcat has experienced rapid growth, doubling in size, and demand for our products continues to rise," declared Scott Park, CEO and Vice Chairman of Doosan Bobcat. "The increase in production capacity enabled by our new facility will serve as a foundation for sustained long-term growth."


Upon completion of the Monterrey plant, Mexico will become the eighth country to host a Doosan Bobcat production base, after South Korea, the United States, the Czech Republic, France, Germany, India, and China. Monterrey, an industrial city in Mexico, boasts an abundant skilled workforce and competitive labor costs. Situated near the U.S. border, it benefits from the U.S.-Mexico-Canada Agreement (USMCA).

2023-11-08

Doosan Bobcat Reports Q3 2023 Sales of KRW 2.366 Trillion and Operating Profit Margin of 13%

On the 27th, Doosan Bobcat announced third-quarter 2023 sales and revenues of 2.366 trillion won, an operating profit of 297.6 billion won, and an operating profit margin of 12.6 percent.


Despite the base effect of high growth in the previous year, sales remained at a similar level with 0.5% decrease year-on-year. Operating profit decreased 6%, and operating profit margin fell 0.7%p due to increased marketing spend. (In dollar terms, sales rose by 1% year-on-year, and operating profit decreased by 5%.)


For the nine months of the year, cumulative sales reached 7.4433 trillion won and operating profit recorded 1.1338 trillion won, grew 19 percent and 38 percent year-on-year, respectively. The company surpassed last year’s annual operating profit of 1.0716 trillion won, reporting an operating profit of over 1 trillion won for the second consecutive year.


Doosan Bobcat converted its net debt to net cash for the first time, reducing the net debt from $67 million last quarter to -$96 million this quarter.


By product (hereinafter, based on dollar terms), construction and grounds maintenance equipment (Compact Equipment) retained the previous year's level with a 1% decrease in sales despite a high base effect from last year. In contrast, demand for Portable Power products increased due to rising oil prices, which led to 16% sales growth. Industrial Vehicle’s material handling products grew 5% due to continued demand for national accounts in North America.


By region, EMEA (Europe, Middle East, and Africa) sales grew 13% as demand for loaders in the Middle East increased. North America sales remained at a similar level, and ALAO (Asia, Latin America, and Oceania) sales dropped 9% year-on-year due to a strong U.S. dollar.


An official from Doosan Bobcat said, "Over the past five years, the company has doubled in its size through organic growth and acquisitions despite concerns over the peak out of the industry and uncertainties such as COVID-19," adding, "We are considering various opportunities for long-term growth based on stable cash flows."

2023-10-27

Doosan Bobcat Global Employees Committee to Community Engagement

Doosan Bobcat employees around the world have stepped up to support local communities.


Doosan Bobcat announced that around 1,000 executives and employees volunteered at business sites across 12 countries on the 12th. Depending on the time zone of the country where each site is located, the volunteer activities on this day started in Korea and continued as relays through China and India to the Middle East, Europe, Africa, and the United States.


Doosan Bobcat planned this activity focusing on the themes of its global social contribution strategy, namely "Preserve Environment" and "Support Community."


In Seongnam, Gyeonggi-do, Republic of Korea, where Doosan Bobcat's global headquarters is located, 100 executives and employees carried out a cleanup activity to remove harmful plants and protect the ecosystem near Tancheon Stream. In Incheon, where the company's forklift production plant is located, and in Yongsan, Seoul, volunteers cleaned orphanages, repainted them, replaced mosquito nets, and improved their facilities.


Doosan Bobcat CEO and Vice Chairman Scott Park visited a school for youth with mental health issues in West Fargo, North Dakota, where the company's North American regional headquarters is located. Park participated in an activity to retain and repair an eroded pond. Doosan Bobcat's skid-steer and compact track loader, compact excavator, compact tractor, and mini track loader helped with the reinforcement work to prevent future erosion by moving rocks and waterproofing agents.


Elsewhere, volunteers carried out various activities such as cleaning up the local environment in China, the Czech Republic and South Africa, planting trees in the UK, supporting a filed project for children in Germany, donating blood in France, sponsoring schools and medical facilities in India, and building playgrounds and renovating facilities in the other locations within the United States.


Park said, "Doosan Bobcat is pursuing responsible growth that empowers future generations, builds healthy ecosystems and improves communities." He also added: "Employees from all over the world will work together to mark footprints toward a better future."

2023-09-13