Hanwha Aerospace Achieves Record Quarterly Operating Profit of KRW 560.8 Billion in Q1

Increase in Ground Defense Exports
Impact of Hanwha Ocean Becoming a Subsidiary

Hanwha Aerospace achieved its highest-ever quarterly performance, driven by increased exports in the ground defense sector and the consolidation of Hanwha Ocean as a subsidiary.

On April 30, Hanwha Aerospace announced that its consolidated operating profit for the first quarter of this year reached KRW 560.8 billion, a 3,060% increase compared to the same period last year. Revenue rose by 278% to KRW 5.4842 trillion.

By business segment, the ground defense division recorded an operating profit of KRW 301.9 billion, turning a profit compared to the previous year. Revenue increased by 77% to KRW 1.1575 trillion. The company explained, "The increase in exports of K9 self-propelled howitzers and Cheonmu multiple rocket launchers to Europe, along with improved productivity and the rise in the won-dollar exchange rate, all contributed to the strong results."

In the aerospace business, revenue rose by 24% year-on-year to KRW 530.9 billion, while operating profit increased by 43% to KRW 3.6 billion. The subsidiary Hanwha Systems posted revenue of KRW 690.1 billion and operating profit of KRW 58.2 billion, driven by increased exports in the defense sector. Hanwha Ocean achieved revenue of KRW 3.1431 trillion and operating profit of KRW 258.6 billion, as LNG carrier sales in the commercial ship division remained robust.

A Hanwha Aerospace representative stated, "With the consolidation of Hanwha Ocean as a subsidiary, we will present an integrated solution that brings together the capabilities of our three defense companies to accelerate overseas business expansion." He added, "We will also strengthen local investment to respond to the defense sector bloc formation in Europe and maximize shareholder value through continuous growth."