Doosan Enerbility

Doosan Enerbility is an integrated power equipment maker built around nuclear main equipment such as reactors and steam generators, gas and steam turbines, power services, and EPC for desalination and combined-cycle plants.

Consolidated results include construction equipment affiliate Doosan Bobcat, fuel cell affiliate Doosan Fuel Cell and Czech turbine subsidiary Doosan Skoda Power, and non-controlling interests reached 4.2236 trillion won of total equity at the end of 2025, showing how large minority stakes in subsidiaries are.

The core Enerbility division posted first-half 2026 revenue of 4.1289 trillion won, up 7.4% from 3.8433 trillion won a year earlier, and the company's own expectation for divisional revenue this year is around 8 trillion won, roughly half of consolidated sales.

Customers split between domestic utilities such as Korea Hydro & Nuclear Power, Middle Eastern project owners, and North American data center and utility clients.

Key first-half 2026 projects cited include a seven-unit gas turbine supply contract with a US company, phase two of the Jafurah cogeneration plant in Saudi Arabia, the Duqm combined-cycle plant in Oman, and a long-term gas turbine service agreement with Korea Southern Power.

In nuclear, the company signed contracts with Korea Hydro & Nuclear Power to supply main equipment, turbines and generators for Czech Dukovany units 5 and 6 worth about 5.6 trillion won in total, and a roughly 320 billion won steam turbine and turbine control system contract with Czech subsidiary Doosan Skoda Power.

In small modular reactors, investment in a dedicated facility capable of building 20 units a year is underway as NuScale Power and X-energy projects take shape, with potential for expanded equipment supply to TerraPower, Rolls-Royce and GE Hitachi.

Competitively, it is a challenger against GE Vernova, Siemens Energy and Mitsubishi Power in gas turbines, while nuclear main equipment is contested by a small group of firms with the requisite forging capacity and qualifications. Long-term service agreements add a recurring revenue layer as the installed base grows.

On an annual basis revenue oscillated around 17 trillion won: 15.4211 trillion won in 2022, 17.5899 trillion in 2023, 16.2331 trillion in 2024 and 17.0579 trillion in 2025.

Operating profit, however, peaked at 1.4673 trillion won in 2023 (8.3% margin) before falling to 1.0176 trillion won (6.3%) in 2024 and 762.7 billion won (4.5%) in 2025, a clear margin erosion.

Net profit attributable to owners swung from a 772.5 billion won loss in 2022 to profits of 55.6 billion won in 2023, 111.4 billion won in 2024 and 84.8 billion won in 2025, small in absolute terms even after the turn to profit.

The gap between consolidated net profit of 205.2 billion won and the owners' 84.8 billion won in 2025 reflects the large non-controlling interests in the group structure.

Quarterly, the trough was the third quarter of 2025 with revenue of 3.8804 trillion won, operating profit of 137.1 billion won (3.5% margin) and a 50.1 billion won net loss attributable to owners; operating profit then rose for three straight quarters to 212.1 billion won, 233.5 billion won and 314.3 billion won.

The second-quarter 2026 operating margin of roughly 6.7% was well above the 4.5% full-year 2025 level, and the company attributed sales growth to faster project progress at the Enerbility division and Doosan Bobcat's pricing policy, and profit improvement to Enerbility's performance plus a tariff refund effect at Doosan Bobcat.

Since items such as tariff refunds are not highly repeatable, the full extent of the improvement should not be read as trend. At the divisional level, Enerbility's first-half operating profit rose 69.7% from 91 billion to 154.4 billion won and its margin improved from 2.4% to 3.7%.

Operating cash flow fell sharply from 2.0706 trillion won in 2023 to 242.2 billion won in 2024 before recovering to 751.8 billion won in 2025, illustrating how sensitive it is to advance payments and billing timing on large projects.

End-demand rests on two pillars. The first is power scarcity driven by AI data center expansion: rising North American demand for power generation gas turbines, combined with Middle Eastern combined-cycle projects, lifted first-half order intake.

The second is the policy return to nuclear, with the argument that the United States is focused on building reactors but lacks equipment manufacturing and construction capacity, raising the need for cooperation with Korea.

Gas turbines had long been a three-way global oligopoly, yet Doosan Enerbility won seven of the 18 large H-class gas turbines ordered in the United States this year, building a track record as a late entrant, and the ability to convert equipment sales into long-term service business matters greatly in this industry.

Nuclear main equipment is gated by heavy forging and welding capacity plus qualification requirements, so the supplier pool is small, and the cycle is transitioning from an order-growth phase into a manufacturing-recognition phase.

A structural feature of the sector, however, is the long lag before awards become revenue. In the Czech project alone, main equipment is to be manufactured from November 2027 with supply completed by August 2032.

SMRs remain an early-stage market where order timing depends on each designer's licensing and final investment decisions, so industry growth rates and a single company's revenue recognition pace may not move together.

The company is sticking to its annual order target. A company official said it would push key projects including the Czech nuclear plant as planned in order to meet this year's guidance of 13.3 trillion won. First-half progress showed new orders of 7.1 trillion won, more than half the annual goal.

The order base stands at a backlog of 26.3509 trillion won at the end of the second quarter, roughly 10 trillion won higher than the 16.6 trillion won level at the end of 2023, and the question now is at what margin that backlog converts into revenue.

Candidates for further momentum include the new Czech reactors and SMR-related business, and the company has pointed to expectations for the follow-on Temelin nuclear project if Dukovany is executed successfully.

In SMRs, the company said in August 2026 that it had won orders for core equipment for TerraPower's sodium reactor, including the guard vessel, support structures and internal structures, to be supplied to TerraPower's first plant in Wyoming.

Domestically, a construction order disclosure for the Hadong combined-cycle plant turnkey-conditioned purchase was filed on September 1, 2026, and an institutional investor briefing was held the same day.

For reference, NH Investment & Securities was reported to have set a target price of 130,000 won in a March 2026 report reflecting expanding gas turbine and SMR orders. What remains to be verified is when partner SMR volumes convert into binding contracts, and how capital spending weighs on cash flow.