1. What Happened at Daesung Industrial?

Daesung Industrial’s Q2 2025 revenue plummeted by 46.5% year-on-year to 788.7 billion KRW, with a net loss of 3.6 billion KRW. Almost all business segments, including oil & gas, power generation, energy, machinery, and distribution, experienced sharp declines in sales.

2. Why the Earnings Decline?

The decline in sales across key business segments is attributed to weak market conditions and intensified competition. The downturn in the oil & gas and power generation sectors significantly contributed to the overall earnings deterioration. Increased financial expenses also played a role in the net loss.

3. Future Stock Outlook and Investment Strategies

Downward pressure on the stock price is expected in the short term. The high debt ratio and continued losses are likely to dampen investor sentiment. In the medium to long term, the performance of new business ventures and improvements in the financial structure will be crucial. A highly conservative investment approach is recommended for now.

4. Investor Action Plan

  • Short-term investors: Wait and see or consider cutting losses.
  • Medium to long-term investors: Monitor the performance of new businesses and improvements in financial structure.
  • New investors: Carefully assess the investment timing.