South Korean defense contractor LIG Nex1 posted record annual revenue as global military spending increased and demand for its missile systems soared.
Sales jumped 42% to 3.03 trillion won ($2.3 billion) in 2024, marking the first time the company crossed the 3-trillion-won threshold. Operating profit rose 23.8% to 230.8 billion won, according to a regulatory filing Tuesday.
The company’s order backlog swelled to 20.1 trillion won in the fourth quarter, up 9.5% from the previous three months, fueled by new contracts worth 3.49 trillion won. The growing backlog signals strong revenue potential for coming years.
LIG Nex1’s precision-guided missiles unit saw sales climb 51.4% to 474.1 billion won, driven by production of Haegung surface-to-air missiles and heavy torpedoes. The command and control division more than doubled revenue to 300.7 billion won on tactical radio and military satellite communications projects.
The surveillance and reconnaissance segment posted an 80.5% revenue increase to 199.4 billion won, while the aerospace and electronics unit grew 48.2% to 152.5 billion won.
The company expects further growth in 2025 from increased exports of its Cheongung II air defense system to the United Arab Emirates. Management is focusing on expanding its integrated air defense network across North Africa, the Middle East and Asia while developing unmanned combat solutions.
Fourth-quarter operating profit rose 69.9% to 62.7 billion won as revenue surged 71.8% to 1.17 trillion won. Operating margin was 5.4%.
