LIG Defense&Aerospace (079550) Q4 2024 earnings summary

Executive summary

• FY24 4Q sales reached KRW 1,168.6 billion, up 71.8% year-over-year, with cumulative annual sales of KRW 3,277.1 billion, a 42.0% increase year-over-year.

• Operating income for 4Q was KRW 62.7 billion, up 69.9% year-over-year; cumulative operating income rose 23.8% to KRW 230.8 billion.

• Net income for 4Q was KRW 70.7 billion, up 41.9% year-over-year; cumulative net income increased 24.4% to KRW 217.6 billion.

Financial highlights

• Domestic sales in 4Q were KRW 951.6 billion (81.4% of total), while overseas sales grew to KRW 217.0 billion (18.6% of total), driven by UAE M-SAM and other contracts.

• All business segments reported sales growth, with notable increases in overseas sales and recognition of major defense contracts.

• 4Q operating income margin was 5.4%, unchanged year-over-year; cumulative margin declined to 7.0% from 8.1% the previous year.

Outlook and guidance

• Estimated order backlog at FY24 year-end was KRW 20.14 trillion, with new orders in 4Q totaling KRW 3.50 trillion and FY24 accumulated new orders at KRW 4.56 trillion.