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Hanwha Aerospace (012450) investor relations material

Hanwha Aerospace Q3 2025 earnings summary

Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.
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Q3 2025 earnings summary3 Nov, 2025

Executive summary

  • Q3 2025 consolidated sales reached KRW 6.49 trillion, up 147% year-on-year, with operating profit at KRW 856.4 billion, a 79% increase year-on-year, driven by strong Land Systems, Aerospace, and Hanwha Ocean performance.

  • Net profit for Q3 was KRW 712.2 billion, up 116% year-on-year, and pretax profit was KRW 812 billion.

  • Major contracts signed in Land Systems (K9 with Norway), Aerospace (UAV engine development), and Hanwha Ocean (container ships for Yang Ming).

  • Total assets stood at KRW 49.97 trillion, with liabilities at KRW 34.44 trillion and a net debt-to-equity ratio of 39%.

  • Shareholders' equity increased 37% year-on-year.

Financial highlights

  • Land Systems Q3 sales were KRW 2.11 trillion, up 27% year-on-year, with operating profit at KRW 572.6 billion, up 30%.

  • Aerospace Q3 sales were KRW 604 billion, up 26% year-on-year, with operating profit turning positive at KRW 3.1 billion, aided by a one-time gain.

  • Hanwha Systems Q3 revenue was KRW 807.7 billion, up 26% year-on-year, but operating profit fell 63% to KRW 22.5 billion.

  • Hanwha Ocean Q3 sales were KRW 3.02 trillion, up 12% year-on-year, with operating profit at KRW 289.8 billion, up 1032% year-on-year.

  • Satrec I Q3 sales were KRW 50.4 billion, up 15% year-on-year, with operating profit tripling to KRW 2.5 billion.

Outlook and guidance

  • Solid earnings growth is expected to continue in the second half of 2025, with Q4 revenue to be recognized from ongoing domestic and overseas projects.

  • Land Systems is expected to maintain 20% growth in 2025 and potentially in 2026, pending Q4 results.

  • Guidance for K9 and Chunmoo deliveries to Poland in 2025 remains unchanged, with 14+ K9 and 20+ Chunmoo units to be delivered in Q4.

  • Aerospace anticipates higher sales and GTF engine deliveries, but RSP operating loss may expand year-on-year.

  • Commitment to expand shareholder returns and invest over 11 trillion KRW in R&D and growth by 2028.

Explain Aerospace's one-off RSP profit
Detail new investment areas by 2028
What caused Hanwha Ocean's FPSO cost impact?
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Frequently asked questions

Hanwha Aerospace is a South Korea-based company specializing in the development and production of aerospace, defense, and precision machinery systems. The company manufactures aircraft engines, engine components, and space propulsion systems, as well as defense products such as guided weapons, radar systems, and artillery equipment. Hanwha Aerospace serves a global customer base, including both commercial and military sectors. The company is headquartered in Changwon, South Korea, and its shares are listed on the Korea Exchange.

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