Hanwha Aerospace continues to grow in the defense sector… Overseas exports increase significantly

[인포스탁데일리=윤서연 기자] Hanwha Aerospace recorded good results in the fourth quarter thanks to strong growth in the defense sector.

On the 27th, Yang Seung-yoon, a researcher at Eugene Investment & Securities, said, “The growth story has begun in which overseas exports in the defense sector increase significantly in 2023 compared to 2022 and in 2024 compared to 2023.”

Headquarters in Changwon, Gyeongsangnam-do, Hanwha Aerospace. Photo = Hanwha Aerospace

Accordingly, we raised our rating to ‘Buy’ and the target price to KRW 114,000. Hanwha Aerospace’s performance in the fourth quarter of the previous year recorded sales of KRW 2,517.9 billion and ▲ operating profit of KRW 176.6 billion. Both sales and operating profit exceeded market expectations thanks to solid earnings from the defense business and Hanwha Techwin.

Researcher Yang said, “Performance has increased significantly due to the recognition of export sales of 24 K-9 units in Poland and the increase in sales of domestic businesses (wheeled anti-aircraft guns, etc.), and recorded a record profit of 16% OPM.” “In 2023, The increase in overseas exports, such as exports of K-9 and Cheonmu to Poland, and the performance of Hanwha Defense Co., Ltd., which will be reflected from this year, are expected to raise the level of performance.”

Hanwha Aerospace stock price trend. Source = Naver

In addition, he said, “It is necessary to pay attention to whether the second contract in Poland (K-9, Cheonmu) and the selection of the preferred negotiator for the redback in Australia are selected.”

Regarding Hanwha Techwin, researcher Yang Seung-yoon said, “We are continuing to deliver solid performance due to continued competitiveness in product supply in the American market and expansion of M/S.” Growth is expected.”

Reporter Yoon Seo-yeon [email protected]

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