Hanwha Aerospace swings to a third-quarter net loss and operating profit falls 46%

Hanwha Aerospace reported preliminary consolidated operating profit of 452.0bn won for the third quarter of 2026, down 46.2% from 839.6bn won a year earlier, according to its DART filing of 29 October 2026. Revenue fell 6.0% year on year to 6.094tn won. The South Korean maker of K9 self-propelled howitzers and Chunmoo rocket launchers swung to a pre-tax loss of 189.6bn won and a net loss of 36.7bn won; the loss attributable to owners of the parent was 137.1bn won, against a profit of 462.7bn won a year earlier. The unaudited filing does not explain the gap below operating profit; on its results call the company said non-operating items mainly reflected foreign-currency translation losses at Hanwha Ocean, THE ELEC reported.

Yonhap Infomax's consensus from nine brokerages over the past month was 1.1056tn won of operating profit and 7.2618tn won of revenue, Yonhap Infomax reported at 15:36 KST (07:36 CET); by Polstob's calculation, operating profit came in 59.1% below that figure and revenue 16.1% below. Against the second quarter of 2026, operating profit fell 66.9% from 1.3655tn won and revenue 34.4% from 9.2929tn won, the filing shows. For January to September, operating profit rose 10.1% year on year to 2.456tn won and revenue 15.6% to 21.138tn won.

The land systems division had revenue of 1.2455tn won and operating profit of 21.7bn won, according to Yonhap Infomax, which said deliveries including the second batch of K9 howitzers for Poland are concentrated in the fourth quarter, and some units were delivered early, in the second quarter. The aerospace division posted an operating loss of 2.4bn won on revenue of 659.9bn won; the company's results presentation put that down to a wider operating loss on its GTF engine risk- and revenue-sharing partnership (RSP) business. Subsidiary Hanwha Systems lifted operating profit 60% year on year to 99.1bn won and Hanwha Ocean 68% to 485.7bn won, according to Yonhap Infomax.

According to Yonhap Infomax, a company official said delivery schedule changes and one-off costs hit the third quarter and that results would improve from the fourth. The official also said the Daejeon site, where an explosion killed five workers on 1 June 2026, Yonhap reported, would put safety first and keep the effect of production disruption as small as possible. On its results call the company said the third quarter included about 30bn won of one-off costs linked to the Daejeon accident, THE ELEC reported.

The filing gives no outlook. On its results call the company raised its 2026 target for Chunmoo launcher deliveries to Poland to more than 60 from more than 40, said its forecast of 15% average annual land systems revenue growth still held for 2027 and could apply to 2028 and 2029, and aimed to restore normal Daejeon operation in the first half of 2027, THE ELEC reported. The company's results presentation put the land systems order backlog at 35.0tn won at the end of the third quarter.