Doosan Enerbility (034020) Q1 2025 earnings summary

Executive summary

• Orders surged 173.8% year-over-year in 1Q25, driven by major gas power projects in the Middle East, but sales and EBIT declined due to the completion of large coal and water projects and upfront costs during project settlement.

• Consolidated sales and EBIT decreased year-over-year, with a temporary net loss attributed to product mix transition and seasonal factors; improvement is expected in the second half as high-profit business grows.

Financial highlights

• 1Q25 managerial consolidated sales: KRW 1,576bn (-7.3% YoY), EBIT: -KRW 1bn (down from KRW 74bn YoY), EBITDA: KRW 34bn, net income: -KRW 78bn.

• 1Q25 consolidated sales: KRW 3,749bn (-8.5% YoY), EBIT: KRW 143bn (down from KRW 358bn YoY), EBITDA: KRW 247bn, net income: -KRW 21bn.

• Net debt increased to KRW 3,330bn (managerial) and KRW 3,571bn (consolidated) in 1Q25.

Outlook and guidance

• Annual sales guidance for FY25 is expected to be met, with 92% of the KRW 6.5tn sales plan secured from backlog at end-2024.

• EBIT is forecast to improve in 2H25 as the business mix shifts toward higher-margin nuclear and gas projects.

• 2025 guidance: Orders KRW 10.7tn, sales KRW 6.5tn, EBIT KRW 373bn (5.8% margin); 2029 guidance: Orders KRW 13.5tn, sales KRW 11.3tn, EBIT KRW 1,008bn (8.9% margin).