Dohwa Engineering (002150)
Fact Summary
Dohwa Engineering closed at KRW 5,220 on 2026-08-18 (-0.57% from the previous day, volume 138,041 shares). Per the FY2025 business report (consolidated), revenue was 6,984.7 (KRW 100mn) (+19.85% YoY) and operating profit was 301.2 (KRW 100mn), turning profitable from the 2024 operating loss of -133.9 (KRW 100mn). The 2026 semiannual report (cumulative, consolidated) recorded revenue of 3,250.7 (KRW 100mn), operating profit of 21.1 (KRW 100mn), and net income of 4.9 (KRW 100mn). The combined stake of largest shareholder Vice Chairman Kwak Jun-sang and specially related parties stood at 30.05% as of the 2026-03-27 disclosure (down from 40.46% previously), reportedly due mainly to a reduction in the scope of specially related parties following executive retirements.
Change Context Note
Despite the return to profitability in 2025, the debt-to-equity ratio has risen continuously over five years, from 87.4% in 2021 to 202.6% in 1H 2026, and total equity has declined for four consecutive periods since 2023 (calculated from confirmed financial data). The 1H 2026 (cumulative) operating margin (0.65%) and net margin (0.15%) are lower than the FY2025 annual figures (4.31% / 0.91%).
Business Overview
Founded in 1962, Dohwa Engineering is a comprehensive domestic engineering firm spanning design, supervision, and construction management across all SOC sectors. It provides Design, Supervision, Construction Management (CM), EPC, and Operation & Management (O&M) services, alongside overseas operations including a solar power plant in Japan and equity investments in Middle East-based entities (WiseReport company overview, as of 2026-06-09).
Secondary aggregate as of 1H 2026 (original source unconfirmed) — the segment revenue sum shown (2,687 (KRW 100mn)) differs from the confirmed financial data's 1H 2026 (cumulative) consolidated revenue (3,250.7 (KRW 100mn), filing no. 20260813001545); use for directional reference only (Design has the largest share).
5-Year Financial Trend (Consolidated)
| Period | Revenue (KRW 100mn) | Operating Margin | Net Margin | Debt-to-Equity Ratio |
|---|---|---|---|---|
| 2021 | 5,773.9 | 3.46% | 2.60% | 87.4% |
| 2022 | 5,558.2 | 2.15% | 0.28% | 95.5% |
| 2023 | 5,749.9 | 3.81% | 3.61% | 120.5% |
| 2024 | 5,827.9 | -2.30% | -1.09% | 136.0% |
| 2025 | 6,984.7 | 4.31% | 0.91% | 187.8% |
| 1H 2026 (cumulative) | 3,250.7 | 0.65% | 0.15% | 202.6% |
Source: DART business report / semiannual report (consolidated, A) · Margins and debt-to-equity ratio calculated directly in the main session
Peer Comparison
Major domestic competitors include Yooshin, Kunhwa, Saman, Samoo Architects & Engineers, and Samsung E&A, among others; by revenue scale, Dohwa Engineering is roughly twice the size of its competitors or larger. The 2026 ENR (Engineering News-Record) Top International Design Firms ranking included Samoo Architects & Engineers at No. 119, Yooshin at No. 145, Kunhwa at No. 146, and Saman at No. 189, but Dohwa Engineering's exact ranking was not confirmed (Maeil Shinmun, 2026-08-07).
Governance and Ownership Structure
Reference date 2025-12-31 (cited from the 64th business report's 'Matters Concerning Shareholders' section, posted on Dohwa Engineering's IR page) · Total shares outstanding 33,720,000
According to the 2026-03-27 disclosure, the combined stake of Kwak Jun-sang and specially related parties fell 10.41 percentage points, from 40.46% to 30.05%. The main cause was the exclusion of certain individuals from the scope of specially related parties following executive retirements (Kim Young-yoon, 3,555,560 shares; Kim Byung-hee, 60,820 shares), partly accompanied by open-market share purchases by Kwak Jae-min and Kwak Hye-min and an open-market share disposal by Kwak Seong-hee (Digital Today, 2026-03-27). In June 2024, Jeong Jo-hwa, Chairman of Kunhwa, resigned his registered executive position, exited specially-related-party status, and re-registered as an independent shareholder with a stake of 5% or more, stating the purpose of the holding as influencing management (TheBell, 2024-06-18).
| Date | Event |
|---|---|
| 2023-12-28 | Chairman Kwak Young-pil gifted 2,000,000 shares to his son Kwak Jun-sang, raising Kwak Jun-sang's stake from 11.17% to 17.10% and making him the largest shareholder |
| 2024-06 | Jeong Jo-hwa, Chairman of Kunhwa, resigned his registered executive position, exited specially-related-party status, and re-registered as an independent 5%+ shareholder (stated purpose: influencing management) |
| 2025-02-13 | Kwak Jun-sang registered as the representative filer following a delay in estate division after his father's passing |
| 2026-02-01/02-03 | Yoo Jeong-wan appointed as a new, non-registered Executive Vice President; initial report of a 4.60% stake (1,550,000 shares) |
| 2026-03-24/03-27 | Disclosure of reduced scope of specially related parties following executive retirements (Kim Young-yoon, Kim Byung-hee); group combined stake fell from 40.46% to 30.05% |
Consolidated subsidiaries include renewable-energy special-purpose entities Dohwa Eco Energy No.1, Woojin Energy No.1, and Woojin Energy No.3 (100% stake each), Yeongdeok Dongdaesan Wind Power (87.00%), holding-company-like Dohwa Codeco Holdings (60.71%), and Inwater Solution (69.38%), among others (WISEreport affiliated company status, as of 2025-12).
Macro Environment
| Factor | Current Value (Reference Date) | Impact |
|---|---|---|
| FY2027 SOC Budget Direction | Overall fiscal policy leans toward spending restructuring, but investment is expanding for national growth-axis infrastructure such as GTX, with a new mega-regional account established (up to KRW 20 trillion over 4 years) (2026-03-30 Cabinet meeting) | Positive |
| June 2026 Domestic Construction Orders | Down 21.7% YoY — polarized, with public-sector orders +29.2% and private-sector orders -41.5% (reported 2026-08-12) | Mixed |
| Bank of Korea Base Rate | Raised to 2.75% (2026-07-16, first change after a 14-month hold) | Negative (private sector) |
| KRW/USD Exchange Rate | KRW 1,416.88 (2026-08-18 open) | Limited (low share of overseas revenue) |
Dohwa Engineering's revenue is estimated to depend substantially on public-sector (Ministry of Land, Infrastructure and Transport and local governments) SOC orders. The FY2027 budget guideline's selective expansion of infrastructure investment and the June 2026 increase in public construction orders (+29.2%) are likely positive for the order pipeline, while the contraction in private-sector orders (-41.5%) following the base rate hike could weigh negatively on private-sector design and supervision revenue. Domestic building-permit and construction-start floor-area statistics, government bond yields, and the latest 2026 share of overseas orders were not confirmed.
Supply and Demand Status
For the research period (2026-07-18 to 2026-08-18), trading trends by foreign, institutional, and individual investors, securities lending share/balance, foreign ownership ratio/limit utilization, and the margin trading ratio were all unconfirmed. The pykrx package was not installed in the research environment and network installation was blocked; web fallback research via the KRX Data Marketplace, Naver Finance, and similar sources also failed to obtain actual figures due to OTP-based dynamic rendering and domain access restrictions. The only information obtained was ownership status (major shareholder structure) and reference-date price/volume data.
Financial and Business Notes
- The debt-to-equity ratio rose continuously over five years, from 87.4% in 2021 to 202.6% in 1H 2026, and total equity declined for four consecutive periods, from 2,743.6 (KRW 100mn) in 2023 to 2,455.5 (KRW 100mn) in 1H 2026 (calculated from confirmed financial data).
- The net margin remained low, below 4%, throughout the five-year period, and in 2024 the company recorded a consolidated operating loss (-133.9 (KRW 100mn)) and net loss (-63.5 (KRW 100mn)) (recovered with the return to profitability in 2025).
- Revenue is estimated to depend substantially on public SOC orders; the CM segment was reported to have seen revenue decline and a shift to operating loss in Q1 2026 amid a contraction in the order environment tied to slowing SOC budget growth (WiseReport, not verified against original source).
- In 2023, a former employee was sentenced to 3 years and 6 months in prison in a first-instance ruling on embezzlement charges exceeding 24 (KRW 100mn) (Newdaily, 2023-12-29).
- The audit opinion and going-concern emphasis-of-matter items in the FY2025 and 1H 2026 audit reports, as well as details of unbilled construction receivables and contingent liabilities, were not confirmed.
Valuation (Factual Multiples)
PBR is below 1x — 0.72x based on total equity at end-1H 2026 (2026-06-30) and 0.70x based on total equity at end-2025. PER was not calculable for FY2024 due to a net loss, but recovered to 27.8x based on FY2025 net income. TTM PER and EV/EBITDA are unconfirmed, as 1H 2025 cumulative net income and depreciation data are not available in the confirmed financial data.
Theme Exposure
Fact Highlights
This is not investment advice. FomoLog provides factual summaries and post-hoc price-change context only. Investment decisions and their outcomes are solely the responsibility of the investor.
Generated by FomoLog Agent · Data sources: Korea Exchange · NASDAQ · DART · SEC EDGAR