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Electronic Technology

KOREA AEROSPACE INDUSTRIES Ltd.

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.

Business Summary

KOREA AEROSPACE INDUSTRIES Ltd. engages in the manufacture and sale of aircrafts. Its products include fixed wing, rotary wing, air frame, upgrade, modification, training system development, space program, and UAV. The company was founded on October 1, 1999 and is headquartered in Sacheon, South Korea.

Financial Highlights

Dec 2021 KRWUSD
Revenue2,562.28B2,237.49M
Gross Profit475,754.37M415.44M
Operating income58,259.43M50.87M
Income before tax53,974.77M47.13M
Net income63,900.48M55.80M
EBITDA207,036.72M180.79M
Diluted EPS655.550.57
Dividends Per Share2000.17
Total Assets5,855.22B4,925.53M
Total liabilities4,557.77B3,834.09M
Total equity1,269.42B1,067.86M
Operating cash flow439,964.69M384.19M
Currency in KRWCurrency in USD

Historical Data

 Dec 2017Dec 2018Dec 2019Dec 2020Dec 2021
Revenue 2,072.24B 2,786.02B 3,110.15B 2,825.13B 2,562.28B
Gross Profit 127,394.23M 524,572.45M 645,083.66M 527,716.23M 475,754.37M
Operating income -208,873.25M 145,363.63M 275,564.42M 139,524.24M 58,259.43M
Income before tax -320,282.33M 79,660.49M 129,397.29M 82,470.27M 53,974.77M
Net income -235,185.85M 57,188.11M 170,402.86M 74,619.31M 63,900.48M
EBITDA -125,229.83M 237,906.20M 392,052.70M 273,868.61M 207,036.72M
Diluted EPS -2,413 587 1,748.16 765.52 655.55
Dividends Per Share 0 200 400 200 200
Total Assets 3,199.73B 3,755.86B 4,367.13B 5,159.07B 5,855.22B
Total liabilities 2,059.32B 2,702.95B 3,183.97B 3,924.79B 4,557.77B
Total equity 1,140.40B 1,009.42B 1,141.85B 1,195.43B 1,269.42B
Operating cash flow 104,641.67M 137,643.71M 354,538.67M 732,407.85M 439,964.69M
 Dec 2017Dec 2018Dec 2019Dec 2020Dec 2021
Revenue 1,833.02M 2,531.55M 2,666.95M 2,394.41M 2,237.49M
Gross Profit 112.68M 476.65M 553.15M 447.25M 415.44M
Operating income -184.76M 132.08M 236.29M 118.25M 50.87M
Income before tax -283.30M 72.38M 110.95M 69.89M 47.13M
Net income -208.03M 51.96M 146.12M 63.24M 55.80M
EBITDA -110.77M 216.17M 336.18M 232.11M 180.79M
Diluted EPS -2.13 0.53 1.49 0.64 0.57
Dividends Per Share 0 0.18 0.34 0.16 0.17
Total Assets 2,988.86M 3,366.07M 3,776.32M 4,749.21M 4,925.53M
Total liabilities 1,923.61M 2,422.43M 2,753.23M 3,612.98M 3,834.09M
Total equity 1,065.25M 904.66M 987.38M 1,100.46M 1,067.86M
Operating cash flow 92.56M 125.07M 304.01M 620.74M 384.19M

Valuation Measures

Dec 2021
PER49.49
ROA1.16%
ROE5.18%
Operating margin2.27%
Profit margin2.49%

Key executives

  • Chief Executive Officer & Director: Hyun-Ho Ahn
  • Managing Director & Head-Private Development: Gyu-Cheol Park
  • Senior Managing Director & Head-Development: Jong-Ho Choi
  • Managing Director & Head-Management: Jun-Myung Kim
  • Managing Director & Head-Human Resources: Myung-Hwan Lee

Shareholders

  • Government of South Korea (26.4%)
  • National Pension Service of Korea (10.0%)
  • Hana Financial Investment Co., Ltd. (Private Equity) (4.8%)
  • The Vanguard Group, Inc. (1.8%)
  • Korea Aerospace Industries Ltd. ESOA (1.6%)
  • BlackRock Fund Advisors (1.5%)
  • Fidelity Management & Research Co. LLC (1.4%)
  • BAMCO, Inc. (1.0%)
  • Samsung Asset Management Co., Ltd. (0.6%)
  • Strategic Advisers LLC (0.4%)

Contact Details

  • Website:http://www.koreaaero.com
  • Address: 78 Gongdan 1-ro, Sanam-myeon, Sacheon, 52529, South Korea
  • Phone: +82.55.851.1000

Related Companies

  • Korea Aerospace FW, Inc.
  • Taas Co., Ltd.
  • Korea Aerospace Industries Co.
  • Korea Aerospace Industries Ltd. ESOA
  • Korean Air Lines Co. Ltd. /Aerospace Division/

Competitors

  • Boeing Company
  • Airbus SE
  • Lockheed Martin Corporation
  • Embraer S.A.
  • Leonardo SpA
  • General Dynamics Corporation
  • Textron Inc.
  • Dassault Aviation SA
  • Bombardier Inc. Class B
  • Jiangxi Hongdu Aviation Industry Co., Ltd. Class A
  • Public Joint Stock Company United Aircraft Corporation
  • Firstec Co., Ltd
  • Spirit AeroSystems Holdings, Inc. Class A
  • AeroSpace Technology of Korea, Inc.
Last Updated on 4 Oct, 2022

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