Kencoa Aerospace (A274090) Q3 2024 earnings summary

Executive summary

• Revenue for the first nine months of 2024 was ₩66.97 billion, down from ₩91.14 billion year-over-year.

• Operating loss for the period was ₩1.18 billion, compared to an operating profit of ₩877 million in the prior year.

• Net loss for the period was ₩1.77 billion, a slight improvement from a net loss of ₩1.85 billion in the previous year.

• The company completed a major change in its largest shareholder, with Kepler Co., Ltd. acquiring a 27.48% stake in April 2024.

Financial highlights

• Gross profit for the period was ₩6.59 billion, down from ₩9.11 billion year-over-year.

• Selling and administrative expenses totaled ₩7.77 billion, up from ₩6.91 billion in the prior year.

• Cash and cash equivalents at period end were ₩4.53 billion, down from ₩5.04 billion at the previous year-end.

• Total assets increased to ₩261.9 billion from ₩149.9 billion at the end of 2023, mainly due to capital increases.

Outlook and guidance

• The company is expanding production capacity at its main and second plants, with completion expected in 2025 to support new orders.

• Focus remains on securing new contracts, especially in the aerospace and defense sectors, and on global market diversification.