Doosan Bobcat

Doosan Bobcat Posts Sales of $1.341 billion in 3Q, Breaking Quarterly Sales Record Yet Again

Doosan Bobcat announced its business results (provisional) for 3Q 2021 on October 29, stating that it had recorded sales of US$1.341 billion, a year-on-year increase of 47.0% thanks to the global economic recovery and its incorporation of Doosan Industrial Vehicle.
After recording the highest quarterly sales in ten years in the 1Q of 2021, Doosan Bobcat recorded sales growth of 4.1% and 17.1% quarter-on-quarter, respectively, breaking its quarterly sales record for three quarters in a row.
Doosan Bobcat’s operating profit in the 3Q was US$ 111 million, a rise of 19.3% year-on-year. Its operating profit margin was 8.3%, down 1.9%p from the same period last year, due to the impact of rising material and logistics costs.
The company’s sales amounted to US$3.585 billion YTD, while its operating profit during the same period was US$390 million, accounting for 99% of the total annual sales and 117% of the total annual operating profit recorded in 2020.
Doosan Bobcat (excluding Doosan Industrial Vehicle) achieved stable growth across the world in the third quarter of 2021.
In North America, the company’s sales grew by 23.1% YoY thanks to the economic recovery and brisk sales of GME products (agricultural and landscaping equipment). As the economic recovery continued despite the difficulties caused by supply chain bottlenecks, sales of the company’s loaders and mini excavators increased by 30.2%, while GME sales grew by 32.8%.
In the EMEA (Europe, Middle East, Africa) region, Doosan Bobcat achieved a growth rate of 17% YoY thanks to its various sales activities on top of the base effect. Meanwhile, in the ALAO (Asia, Latin America, Oceania) region, Doosan Bobcat grew by 26.2% during the same period, driven by the increased demand in Oceania and Latin America resulting from the implementation of stimulus packages.
As for Doosan Industrial Vehicle, which was incorporated as a subsidiary of Doosan Bobcat in July 2021, it recorded sales of KRW 225.8 billion in the third quarter, with strong sales in major markets such as North America and Europe, as well as the Korean market, where it holds the largest market share in the country. Notably, the company’s share of the North American market for engine-powered forklifts, which stood at 6% in 2019, exceeded 11% as of the third quarter of this year.

2021-10-29

Doosan Bobcat Q2 Sales Surge to US$1.145 billion, setting a new 10-Year Record

In its Q2 results (provisional) released on July 27, Doosan Bobcat announced that it had recorded sales of US$1.145 billion and an operating profit of US$125 million based on its consolidated financial statements during the quarter.
Sales grew by 45.2% YoY on the back of a base effect and the economic recovery in major markets, while operating profit increased by 138.0% during the same period thanks to an improved product mix (increased sales proportion of high-margin products) and reduced marketing expenses, achieving a 10.9% operating profit margin, a double-digit margin rate for four consecutive quarters.
Most notably, Doosan Bobcat achieved sales growth of 4.1% during the second quarter over the previous quarter, breaking its 10-year quarterly sales record which was previously set in the first quarter.
In North America, its quarterly sales rose by 41.1% YoY on the back of steady demand growth and robust sales of GME (agricultural and landscaping equipment) products. In this region, the sales of loaders and mini excavators soared by 47.7% YoY amid the brisk construction market, while GME sales increased by 57.6% YoY as people continued moving from large cities to rural areas.
In the EMEA (Europe, Middle East and Africa) region, the company’s sales increased by 52.4% YoY thanks to the budding economic recovery and the base effect. As European market showing signs of recovering, positive industry outlook is expected.
Meanwhile, on July 6, Doosan Bobcat completed the acquisition of Doosan Industrial Vehicle, whose earnings will therefore be reflected in Doosan Bobcat's consolidated financial statements starting in the third quarter of 2021.

2021-07-27

Doosan Bobcat Set to Expand Factories with Large-scale Investment to Respond to Market Demand

Doosan Bobcat is expanding its production capacity to meet the rising market demand, demonstrating a solid growth pattern. In addition, it has started to strengthen its product lineup further by launching new products in advanced markets such as the US and Europe.
On May 4, Doosan Bobcat announced that it would invest US$70 million in the R&D and the expansion of its plant in Statesville, NC, which has focused on the production of portable power and assembling compact tractors since 2019.
With the expansion scheduled to begin this July and end in May of next year, Doosan Bobcat plans to meet the steadily increasing demand for its GMEs (Grounds Maintenance Equipment). Earlier in April, Doosan Bobcat completed the expansion of its Litchfield plant in Minnesota for an investment of US$26.
Doosan Bobcat launched new GMEs including compact tractors and zero-turn mowers. As a result, its sales in the sector soared by 98% from US$165 million in 2019 to US$327 million in 2020. Due to the COVID-19 pandemic people are spending more time at home than ever before, causing demand for the products to rise continuously.
Doosan Bobcat also intends to expand its product lineup in Europe in a bid to increase its share of the market: On the same day it announced that it was ready to introduce a new small articulated loader for Europe, the Middle East, and Africa, having already launched it in North America, where it has carved out a position in the market, at the beginning of 2020. Following its launch of a compact wheel loader in the European market at the beginning of this year, the Company now aims to launch the small articulated loader on the market, making Doosan Bobcat the company with the most diverse lineup of loaders in the industry.
The small articulated loader is an extremely useful machine that can be operated in a variety of work environments including construction and maintenance sites in urban settings, as well as in the agricultural and landscaping sectors. Its outstanding advantages include its narrow width of around one meter and its main body’s ability to use of an articulated joint, which enables to work easily even in tricky and hard to reach areas, in addition to having wheels that enable it to run as easily as an ordinary automobile.
“As the economy continues to recover, demand for small equipment keeps rising among the construction, agriculture and landscaping industries in particular,” said an executive from Doosan Bobcat. “We will continue expanding our production facilities and diversifying our product lineup tailored for advanced markets in order to consolidate our position as a global leader in the small equipment market.”



- Doosan Bobcat to invest $70 million to add jobs and expand manufacturing operations in Statesville, N.C.
(https://www.bobcat.com/company-info/news-media/press-release-2021-doosan-bobcat-statesville-project?alias=doosan-bobcat-statesville-nc-project)
- New Range of Small Articulated Loaders from Bobcat
(https://www.bobcat.com/eu/company-info/news-media/press-releases?alias=new-range-of-small-articulated-loaders-from-bobcat)

2021-05-04

Doosan Bobcat, Achieves its Highest Quarterly Performance of the Last 10 Years

□ Doosan Bobcat announced on April 27 sales and revenue of $1.099 billion and operating profit of $154 million in the first quarter of 2021, which was the largest quarterly earnings in the last ten years.
□ Sales increased by 23.3% YoY due to increased demand and the economic recovery compared to the 1st quarter of last year. The operating profit increased by 111% due to increased sales, an improved product mix, reduced promotional costs, and the margin reached to the 14%. In addition, net profit increased by 268.8% YoY to $104 million.
□ Doosan Bobcat showed an even regional growth this quarter. In North America, sales of its main products (compact loaders and mini excavators) and agricultural/landscaping equipment (GME) increased due to the rise in demand stimulated by reflationary policy and low interest rates, boosting sales by 26% YoY.
□ In the EMEA region (Europe, Middle East, and Africa), despite the delayed market recovery, sales increased by 9.4% YoY due to the robust sales of mini-excavators. The market share of mini excavators in the first quarter increased by 0.7% to 9.3% compared to the end of last year, maintaining the steady growth trend recorded since 2017.
□ Sales in emerging markets (Asia/Latin America/Oceania) increased by 42.5% YoY as demand is increasing - mainly in Oceania and China.
□ Since 2019, Doosan Bobcat has focused on expanding its product line-ups by releasing new products such as compact tractors, zero-turn mowers, and small articulated loaders. Since then, the new product lines has successfully settled in the market, along with the rising demand for the new products amid pandemic.
□ “With the increasing demand for construction equipment in the U.S. market, the demand for agricultural and landscaping equipment looks likely to remain strong, so our business performance is expected to continue improving in the remaining quarters. Once the recently announced acquisition of the Doosan Forklift division is completed, its external growth should accelerate.” said a Doosan Bobcat executive.
□ In the first quarter, Doosan Bobcat posted sales revenues of KRW 1,224.8 billion (+15.1% YoY) and an operating profit of KRW 171,380 billion (+97.3% YoY).
* Exchange rate comparison 1st Q of 2020: KRW 1,193.60, 1st Q of 2021: KRW 1,114.05

2021-04-27

Doosan Bobcat Launches Forklift Business

□ Doosan Bobcat decides to enter the forklift business.
□ At a board meeting held on March 11, Doosan Bobcat decided to take over 100% of Doosan’s forklift business, for about KRW 750 billion, with plans to finalize the contract by July of this year.
□ Under the new arrangement Doosan Bobcat will be able to expand its business portfolio into logistics, a business area with great growth potential, and maximize synergy by utilizing its brand power and global network, as the leader of the global market for compact construction equipment.
□ In 2019, the forklift business division posted sales of KRW 912.7 billion and an operating profit of KRW 61.6 billion. Over the past five years, it has recorded annual average sales growth of 6.8%. It currently holds a whopping 54% share of Korea’s forklift market.
□ Doosan Bobcat is also bolstering its efforts to promote new growth engines, including the agricultural and landscaping equipment business that it has successfully run since its launch in 2020.
□ An executive of Doosan Bobcat said, “We expect synergy across our entire value chain, based on the joint use of our domestic and overseas distribution networks, collaborative R&D on full automation technology, and much more.”

2021-03-11