Hanwha Aerospace's quarterly operating profit tops 1 trillion won

Hanwha Aerospace, Korea's leading defense company, said Friday its quarterly operating profit topped 1 trillion won ($696.2 million) for the first time in the second quarter, driven by robust growth of its ground defense business.

The company's operating profit for the April-to-June period was 1.37 trillion won, up 58.5 percent from a year earlier, the company said in a regulatory filing.

Sales rose 47.2 percent on year to 9.29 trillion won. Net income surged 277.5 percent from the same period last year to 1.08 trillion won.

The company's ground defense business led the overall growth, with sales from the division rising 19 percent on year to 2.1 trillion won.

Sales were boosted by an increase in domestic production orders, as well as successful deliveries of its products to other countries, including the delivery of K9 Thunder self-propelled howitzers to Poland, the company said in a release.

Its aerospace division also saw sales grow by 17 percent on year to 760 billion won, and turned to a profit in the second quarter, helped by an increase in defense spending.

Hanwha Ocean, the defense giant's shipbuilding subsidiary, saw its operating profit and sales jump by 98 percent and 65 percent on year, respectively, thanks to increased sales of high-margin vessels, the company said.

Hanwha Aerospace added it plans to continue the growth momentum in the latter half. It also vowed to actively participate in the government-led research and development project for advanced aerospace engines and contribute to strengthening the country's aerospace export competitiveness.

Yonhap