Seoul: Korea Aerospace Industries Ltd. (KAI) reported a 3.1% increase in its second-quarter net profit, driven by growing demand for its defense systems both domestically and internationally. The company's net profit for the April-June period reached 57.1 billion won (US$41 million), up from 54.4 billion won in the previous year, as detailed in a regulatory filing.
According to Yonhap News Agency, KAI's operating profit rose by 14.7% year-on-year to 85.2 billion won, despite a 7.1% decline in sales to 828.3 billion won. These earnings surpassed market expectations, with analysts predicting an average net profit of 41.8 billion won, based on a survey by Yonhap Infomax, the financial data arm of Yonhap News Agency.
The company attributed this improved performance to heightened demand for its defense systems. Overseas sales, including FA-50 fighter jets to Poland and Malaysia, amounted to 227.3 billion won. Additionally, sales of aircraft parts to global clients such as Airbus and Boeing totaled 226.8 billion won.
KAI's order backlog was reported at 26.7 trillion won as of the end of June, providing a stable foundation for future earnings.