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Hanwha Aerospace income skyrockets with rocket launchers, artillery selling in droves

Published: 31 Oct. 2024, 18:46

Hanwha Aerospace displays the K239 Chunmoo multiple launch rocket system during the International Defence Industry Exhibition in Kielce, Poland, on Sept. 5, 2023, in this file photo provided by the Korean defense firm. [YONHAP]

Hanwha Aerospace, a leading defense and aerospace company, said Thursday that its third quarter net income had skyrocketed nearly 50 times, largely driven by robust overseas sales of K9 howitzers and Chunmoo rocket launchers.

Its net profit amounted to 330.4 billion won ($239.6 million) for the July-September period, up 4,831.3 percent from the 6.7 billion won logged a year earlier, the company said in a regulatory filing.

Operating profit soared 457.5 percent on year to 477.2 billion won, and sales rose 61.9 percent to 2.63 trillion won.

The figure was 47.7 percent higher than the average estimate, according to a survey by Yonhap Infomax, the financial data firm of Yonhap News Agency.

Hanwha Aerospace attributed the strong bottom line to high demand for its K9 howitzer and Chunmoo rocket launchers, particularly through export contracts with Poland.

The company secured a deal, valued at 8.2 trillion won, to supply Poland with 212 K9 howitzers and 218 Chunmoo rocket launchers in 2022. This was followed by another contract last year, worth 5.6 trillion won.

Its defense business reported 1.6 trillion won in sales and 439.9 billion won in operating profit for the third quarter, up 117 percent and 715 percent from a year ago, respectively.

The aerospace division's sales rose 22 percent on year to 477.9 billion won, with an operating loss of 6 billion won.

Hanwha Aerospace expects the strong results to continue in the fourth quarter as it plans to further expand arms production for export contracts with Poland.

Yonhap