Daedong Posts Record-High Sales Last Year... Operating Profit Jumps 68%

Sales of 1.475 Trillion Won, Operating Profit of 31.1 Billion Won
Global Diversification Strategy Pays Off

Daedong announced on the 12th that, based on its provisional consolidated results for last year, it recorded sales of 1.475 trillion won. This represents growth of 4.2% year-on-year and is the highest sales figure since the company was founded.

Daedong’s sales, which stood at 1.4637 trillion won in 2022, went through a two-year adjustment period and then returned to a growth trajectory. Operating profit came to 31.1 billion won, up 68.3% from the previous year, significantly improving profitability. Net loss was 25.1 billion won, narrowing the deficit.

Daedong explained that this growth was the result of its global diversification strategy spanning products, markets, and dealer channels. In Korea, even as the agricultural machinery market contracted, the company sought to diversify its revenue by commercializing new products that form the basis of future agriculture, such as transport robots and precision agriculture solutions. In the United States, it opened a new warehouse in the Tacoma area on the West Coast, expanding its existing East Coast-centered sales system to cover the entire country, and further solidified its business foundation by strengthening the competitiveness of its dealer network.

In Europe, where the company achieved double-digit sales growth year-on-year and a market share of 2.5%, it selected France, Germany, Spain, Italy, and Poland as key target markets and successfully implemented customized strategies based on in-depth analysis. It also expanded service and logistics infrastructure across Europe, laying the groundwork for mid- to long-term growth. Thanks to this diversification strategy, consolidated sales in North America and Europe increased by about 12.4% year-on-year, or 94.9 billion won, despite the global economic downturn and tariff pressures. The company also improved profits through company-wide cost reductions, higher selling prices, and lower financing costs.

Daedong plans to make this year the first year of execution in its leap toward becoming an artificial intelligence (AI) and robotics company, accelerating growth based on future agriculture products and services. It intends to build a system that consistently applies AI and robotics from product development through to customer experience, thereby strengthening a structure in which the innovative technologies and products desired by customers translate directly into sales and profits. In particular, in Korea, it plans to sustain its sales growth by selling future agriculture products such as AI unmanned tractors, agricultural robots, drones, precision agriculture solutions, and smart farming solutions.

Overseas, it will expand its sales base through business strategies grounded in market data. In North America, the company plans to attract up to 100 new dealers this year and pursue diversification of its sales portfolio by fully entering the mid- to large-sized tractor market and expanding its small construction equipment and parts businesses. In Europe, it will simultaneously work on increasing sales of mid- to large-sized tractors and expanding its new dealer network. In addition, as future businesses, it plans to expand smart farm operations and its robotics business to secure new growth engines.

Daedong CEO Won Youhyun said, "Amid the trend of technological transformation, Daedong is entering a new stage of growth centered on AI and robotics," adding, "We will concentrate the company’s core capabilities on future technologies and, through execution that turns them into tangible business results, drive the AI transition of Korean agriculture and strengthen a sustainable growth system."

This content was produced with the assistance of AI translation services.