What Happened? : $190 Million US Contract Secured

On September 22, 2025, HD Hyundai Electric signed a contract with HD Hyundai Electric America Corporation to supply 24 units of 765KV ultra-high-voltage transformers and reactors, valued at $190 million. This substantial contract, representing approximately 23.8% of HD Hyundai Electric’s projected 2024 revenue, will span 4 years and 3 months, from 2025 to 2029.

Why It Matters: US Market Expansion and ‘Buy America’ Compliance

This contract serves as a crucial stepping stone for HD Hyundai Electric to expand its presence in the US market by complying with the ‘Buy America’ policy through local production and supply. It’s also expected to increase the likelihood of securing additional contracts, aligning with the US government’s policies on power grid modernization and renewable energy investments.

What’s Next? : Improved Financial Performance and Growth Momentum

This contract is anticipated to bring stable revenue and improved profitability for HD Hyundai Electric. The projected annual revenue of approximately $48 million over four years will support robust growth, and supplying high-value-added products is expected to improve operating profit margins. Furthermore, it could generate positive market attention, potentially leading to upward momentum in stock prices.

Investor Action Plan: Analyzing Long-Term Investment Value

Investors should analyze the long-term investment value by considering the financial impact of this contract, changes in market expectations, and potential risks such as exchange rate fluctuations, tariffs, and intensifying competition. Continuous monitoring of potential additional orders in the US market and securing competitiveness in eco-friendly technologies are crucial.