Israel Aerospace Industries reports record sales for H1 2020
The $2.1 billion H1 earnings is a 4.6% increase from the year prior, garnering a profit of $82 million - up 64% profit-wise from the year before.
By JERUSALEM POST STAFFIsrael Aerospace Industries (IAI) announces the launch of OPAL on April 15th, 2019(photo credit: IAI)
The Israel Aerospace Industries (IAI) reported record sales of $2.087 billion, which they earned throughout the first half of the year, according to CTech.The $2.1 billion H1 earnings is a 4.6% increase from the year prior, garnering a profit of $82 million - up 64% profit-wise from the year before."In this quarter IAI marks good results despite reduced activities in the Aviation Group," said IAI president and CEO Nimrod Sheffer, according to Globes. "The increase in sales, the improvement in the business parameters of the Military Groups, and the continued provision of services to our customers around the world reflect the unwavering commitment of the company's employees and managers to its success. We are well aware of the serious ramifications of the global crisis on the Aviation Group and have prepared ourselves as an organization to the upcoming challenges in this industry.""In the midst of the coronavirus pandemic, we were able to reach technological, business, and management feats: we have developed unique technologies for combating the coronavirus, closed major deals such as the lease of the Heron UAVs to Greece, completed the manufacture of wings for the T-38 aircraft, signed a major contract for adapting business jets to intelligence missions, completed the conversion of passenger jets to cargo configuration for DHL, and achieved the accelerated development of the national communication satellite, the Dror-1. We have successfully completed an operational dual firing trial with the LORA Weapon System and a very successful launch of the Ofek-16 satellite," he added.IAI currently has an $13.2 billion order backlog, which Globes asserts represents 3.4 years of business. Free cash for the company sits at around $1.1 billion."Moreover, IAI climbed from the eighth place to the second place in DBI's ranking of Israel's 100 employers of choice and recently learned of winning the Israel Defense Prize, in addition to a chain of awards won by the company over the years for its contributions to homeland defense," Sheffer concluded. "We also view the issue of sustainability as a major part of our long-term strategy and growth and in recognition thereof, we received a Platinum Plus rating by the Maala Index for corporate responsibility. IAI will continue to lead Israel's homeland defense industries towards more achievements and feats for the security and prosperity of the State of Israel."In the first quarter, the defense contactor brought in $612 million compared to the $721 million they brought in throughout the first-quarter of 2019. In the second quarter the IAI reported $1.06 billion in earnings, up 7.6% from the year before - with a net profit of $48 million, up 36% from 2019."The excellent business results of the first half of the year, achieved despite the difficulties posed by the global coronavirus crisis, are the outcome of IAI's recent reinvented focus. As a company whose majority of products are exported, we faced various challenges in the supply chain from the beginning of the first half of the year and already in December 2019," said IAI chairman Harel Locker, according to Globes. "Despite these challenges, owing to employee mobilization and careful executive management efforts, IAI was able to reach a historical record in financial results in the first half of 2020. We will continue to lead IAI towards full realization of its immense business and technological potential."
