Kencoa Aerospace Reports Double-Digit Sales Growth in Q1... "Four Consecutive Quarters of Profit"

Kenkorea Aerospace has continued its performance growth streak by recording sales growth for nine consecutive quarters.

Kenkorea Aerospace announced on the 15th that its consolidated first-quarter sales increased by 24% year-on-year to 20.4 billion KRW. During the same period, operating profit and net profit were 400 million KRW and 1.6 billion KRW respectively, maintaining a profit trend since the second quarter of last year.

In particular, sales based on the Korean headquarters (separate basis) achieved record-high sales for 13 consecutive quarters. It reached 12.8 billion KRW, a 27% increase compared to the same period last year.

It is analyzed that the growth in performance was driven by the passenger-to-freighter conversion MRO business, which has established itself as a core business within the group, and the global aerospace business including the U.S. subsidiary Space One Materials.

A company official explained, “The second batch of passenger-to-freighter orders began full-scale shipments from early this year, and the initial cost rate will be reflected in the first half. Despite the initial cost rate of large new projects being reflected, the operating profit trend was maintained, and from the second half, as the mass production stabilization of new businesses progresses, operating profit is expected to improve rapidly.”

He added, “Following the successful first and second phases of the Airbus passenger-to-freighter conversion business, additional new orders are also expected, making Kenkorea a key player in the PTF supply chain.”

The outlook for Kenkorea’s performance this year is also bright. With the recent recovery in demand in the air transportation market, the upstream market is growing rapidly, and the aerospace defense market is expanding due to increased defense budgets in various countries. Additionally, as the space and UAM (Urban Air Mobility) markets are rapidly expanding, Kenkorea is expected to benefit significantly from the momentum in related markets such as space and UAM, which provide a stable foundation for performance growth.

A company official said, “This year, investments to build space industry infrastructure are significantly expanding globally and domestically, regardless of government or private sectors. We will rapidly grow the supply chain within the U.S. space market that we have already secured, and at the same time, secure strong future growth engines through continuous investment in new space industries in line with industrial growth and changes.”