Korea Aerospace Industries (047810) Q4 2025 earnings summary

Executive summary

• New orders reached KRW 6,394.6bn in 2025, up 30.4% year-over-year, driven by KF-21 production and FA-50 orders from the Philippines.

• Revenue for 2025 was KRW 3,696.4bn, a 1.7% increase year-over-year, but below guidance due to delivery delays and revenue recognition adjustments.

• Operating profit rose 11.8% year-over-year to KRW 269.2bn, with net income up 9.6% to KRW 187.3bn.

Financial highlights

• 4Q25 new orders surged 50.4% year-over-year to KRW 2,710.7bn.

• Export revenue grew 44.5% year-over-year to KRW 925.4bn, while domestic revenue declined 18.8% to KRW 1,711.6bn.

• Aero-structure revenue increased 16.1% year-over-year to KRW 988.2bn.

• Gross profit margin improved from 13.25% in 2024 to 16.45% in 2025.

Outlook and guidance

• 2026 revenue guidance is KRW 5,730.6bn, up 55.0% from 2025.

• 2026 new order guidance is KRW 10,438.3bn, a 63.2% increase year-over-year.

• Growth expected from increased aircraft deliveries and export contracts, especially for KF-21, KUH, and KT-1 platforms.