On Feb. 11, Doosan Bobcat announced that it had held an Investor Day event the previous day at the Korea Exchange in Yeouido, Seoul, targeting securities analysts and institutional investors. This marks the first time Doosan Bobcat has held such an event since its listing on the Korea Exchange in 2016. At the event, Doosan Bobcat’s Chief Executive Officer (CEO) and Vice Chairman Scott Park and Chief Financial Officer (CFO) and Executive Vice President Cho Duk-je took the stage to present key management strategies, last year’s performance, and this year’s guidance.
Park outlined the company’s future growth strategy. He identified four key competitive strengths that have solidified Doosan Bobcat’s position as the world’s leading brand in the compact construction equipment sector: an outstanding product lineup with the industry’s most extensive range of attachments, a robust global sales network based on strong partnerships, globally optimized production bases catering to regional demands, and an innovative DNA that pioneered the compact equipment market. Leveraging these strengths, Doosan Bobcat plans to drive future growth through mergers and acquisitions (M&A) and continuous innovation in the increasingly mature global construction equipment market.
“Since our listing, we have doubled both in size and profitability. Notably, as we actively pursued M&A over the past five years, we have achieved high growth by acquiring adjacent businesses, such as lawn mowers and forklifts, leading to an annual revenue growth rate of 15 percent and an operating profit increase of 18 percent,” Park stated. “Building on this success, we will enhance innovation in our existing businesses while simultaneously pursuing inorganic growth through M&A. Our goal is to achieve $12 billion (16 trillion won) in revenue by 2030, representing an average annual growth rate of 11 percent.”
Cho presented the company’s annual performance for last year and its outlook for this year. In 2024, Doosan Bobcat recorded an annual revenue of $6.27 billion, a 16 percent decrease from the previous year, with an operating profit of $639 million, down 40 percent. Cho projected that the compact construction equipment market would gradually recover, rebounding in the second half of this year, leading to an annual demand similar to last year’s. The company’s 2025 guidance forecasts $6.4 billion in revenue and $600 million in operating profit, representing a 2 percent increase in revenue but a 6 percent decline in operating profit compared to last year. He further emphasized, “The 40 percent shareholder return rate included in the Value-Up Program announced at the end of last year is among the highest in the machinery industry. We are nearing the completion of our promised 200 billion won share repurchase and plan to finalize its retirement within a month.”
During the Q&A session, when asked about a second term for Donald Trump, Park responded, “If his infrastructure investment pledges materialize into policy, it would be positive for construction equipment demand.” Addressing concerns about tariffs, he added, “Since we manufacture most of the equipment sold in North America–where 75 percent of our revenue comes from–we are in a favorable position. While Mexico offers advantages such as an abundant workforce, our factory there is not yet operational, so we are closely monitoring the situation.”
