Asia300

Korea Aerospace Industries Ltd.

South Korea

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Mar 24, 2017
Prev close: 58,000
Mar 24, 2017
Market cap:
Market cap(USD):
5,653.56B
5,036.13M
Shares: 97.47M

Currency in KRW

Company profile

Market(Ticker): KRX(047810)
Sector:
Industry:
Electronic Technology
Aerospace & Defense
Full time employees: --

Business summary

Korea Aerospace Industries Ltd. engages in the manufacture and sale of aircrafts. Its products include military aircrafts and fuselage parts. The company was founded on October 1, 1999 and is headquartered in Sacheon, South Korea.

Company background

Korea Aerospace Industries is South Korea's sole aircraft maker. It was founded in 1999 under the leadership of the South Korean government, with three conglomerates -- Samsung, Hyundai and Daewoo -- contributing their aerospace expertise. Its leading shareholder is Korea Development Bank, an institution wholly owned by the government.

Korea Aerospace's mainline product is the T-20 supersonic training aircraft, developed jointly with Lockheed Martin, a U.S. defense contractor. Mass production of the jet, which also doubles as a light attack aircraft, began in 2006. In addition to being supplied to the South Korean air force, the T-20 has also been shipped to Indonesia and Iraq.

Korea Aerospace also has a working relationship with Europe's Airbus Group. With the help of Airbus, the company in 2012 began selling the first South Korean-built helicopters.

In 2015, the company was awarded a contract to build the KF-X fighter, to be developed jointly with Indonesia, which is an investor in the 18 trillion won ($15.7 billion) project. Plans call for building 120 of the planes between 2025 and 2032. Korea Aerospace will have to pay a penalty if it falls behind schedule.

Opposition from Washington meant the company was unable to obtain the radar technology it wanted from Lockheed Martin, so it is developing the technology in-house. Some observers say that could impact the development schedule.

In the news

Financial highlights

Dec 2016

  • Local currency
  • US Dollar
Revenue 3,100.67B
Gross profit 583,855.70M
Operating income 314,961.99M
Income before tax 321,197.99M
Net income 268,112.95M
EBITDA 424,548.79M
Diluted EPS 2,751
Dividends per share 680
Total assets 2,944.52B
Total liabilities 1,538.23B
Total equity 1,406.28B
Operating cash flow 145,284.89M

Currency in KRW

Revenue 2,672.55M
Gross profit 503.24M
Operating income 271.47M
Income before tax 276.84M
Net income 231.09M
EBITDA 365.93M
Diluted EPS 2.37
Dividends per share 0.58
Total assets 2,437.92M
Total liabilities 1,273.58M
Total equity 1,164.33M
Operating cash flow 125.22M

Currency in USD

Valuation measures

Dec 2016

PER 24.35
ROA 9.45%
ROE 20.79%
Operating margin 10.15%
Profit margin 8.64%

Key executive

  • Chief Executive Officer & Director: Sung-Yong Ha
  • Managing Director, Head-Finance & Economy: Geol-Taek Shim
  • Vice President & Head-Development Division: Sung-Sub Jang
  • Vice President & Head-Overseas Business Division: In-Sik Kim
  • Executive Director: Dong-Shin Lee

Share holders

  • Government of South Korea(26.7%)
  • National Pension Service of Korea(9.1%)
  • Hanwha Techwin Co., Ltd.(5.9%)
  • Hyundai Motor Co., Ltd.(4.8%)
  • Vontobel Asset Management, Inc.(4.0%)
  • Korea Aerospace Industries Ltd. ESOA(1.8%)
  • The Vanguard Group, Inc.(1.3%)
  • BlackRock Fund Advisors(1.1%)
  • BlackRock Asset Management North Asia Ltd.(0.9%)
  • Schroder Investment Management Ltd.(0.6%)

Address

  • Website: http://www.koreaaero.com
  • Address: 78 Gongdan 1-ro, Sanam-myeon, Sacheon, 52529, South Korea
  • Phone: +82.55.851.1380

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