[Click eStock] "Kenko i Aerospace, Actively Advancing New Space Development Business"

[Asia Economy Reporter Ji Yeon-jin] NH Investment & Securities evaluated on the 15th that Kenkoa Aerospace is the only company in Korea with experience supplying to the U.S. space exploration company SpaceX, and is actively pursuing new growth engines such as space development and urban air mobility (UAM).

Kenkoa Aerospace is the first Tesla requirement listed company in Korea, responsible for the distribution of materials and manufacturing of airframe parts for domestic and U.S. aerospace manufacturers.

Kenkoa Aerospace is expected to record sales of 51.7 billion KRW this year, surpassing the 46.3 billion KRW sales in 2019, showing signs of recovery from the impact of the COVID-19 pandemic.

Choi Jin-myung, a researcher at NH Investment & Securities, said, "The entry into the cargo aircraft conversion business from Airbus passenger aircraft has emerged as a new growth engine, growing to nearly 30% of this year's sales. The volume is expected to double next year, and the existing materials and parts business related to commercial aircraft has also recovered to about 80% of the pre-COVID-19 level."

In particular, the Airbus commercial aircraft conversion business successfully led a change in the business portfolio by securing orders worth a total of 400 billion KRW over 2020 and this year. Until 2020, 56% of sales were dependent on Boeing commercial aircraft-related business, showing reliance on a specific company, but from next year, the sales composition ratio is expected to diversify to 38% related to Airbus commercial aircraft, 35% related to Boeing commercial aircraft, and 17% related to Korea-U.S. defense projects.