Daewoo E&C posts strong Q1 on strong internal management
Daewoo Engineering & Construction outperformed market expectations in the first quarter of 2025, signaling the early success of its internal management strategy under new leadership.
From January to March, Daewoo E&C logged 2.77 trillion won ($2.05 billion) in revenue and 151.3 billion won in operating profit. While revenue slightly declined, profitability improved through cost optimization efforts and a strategic focus on high-margin housing and plant construction projects, the company said.
The company's strong performance has been widely attributed to CEO Kim Bo-hyun, who took office in December. Kim has emphasized risk management, profitability and communication as core principles.
'Daewoo E&C's resilient DNA, combined with Kim's communication-driven leadership, is strengthening employee morale and our ability to overcome current industry challenges,' a company official said.
'We aim to achieve 8.4 trillion won in revenue this year and continue our focus on sustainable, profitable growth.'
Since taking the helm, Kim has initiated quarterly field visits, CEO listening tours and expanded internal communication channels such as Daewoo E&C TV and the company's intranet, 'Open Room 2.0.'
In the first quarter, new orders also reached 2.82 trillion won, up 13.4 percent from a year earlier, the company said. Notable domestic projects include the construction of the underground Dongbu Expressway and the planned groundbreaking of the GTX-B line by the end of June.
The company is targeting high-profile urban redevelopment projects in Seoul districts, such as Gangnam and Yeouido.
The construction giant is also pushing for overseas expansion to hedge against domestic market challenges. In April, Daewoo E&C signed a framework agreement for a fertilizer plant project in Turkmenistan and is now progressing with the Kien Giang New City development in Vietnam.
A previously stalled LNG project in Mozambique is back on track, and further contracts are in discussion with Nigeria and Iraq, Daewoo E&C said.
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