IAI logs record annual sales and net income
Stronger military sales outweigh fall in commercial aviation-related sales amid COVID-19 pandemic.
Israel Aerospace Industries (IAI) posted record sales and net income in 2020, the company announced on 18 March when revealing its annual financial results.
Sales reached $4.2 billion (up by 1.85%) and net income rose by 48% year on year to reach $133 million.
R&D (in-house and contracted) exceeded the $1 billion mark for the first time, increasing by 13% in 2020 to about $1.04 billion.
IAI attributed sales growth mainly to increased demand for goods and services from its Elta subsidiary and the Systems Missiles & Space Group. Sales in the IAI Military Group in 2020 increased by 14% to $3.51 billion.
However, the crisis in civil aviation amid the COVID-19 pandemic contributed to an 18% fall in revenues from the Aviation Group to $1.19 billion.
Exports in 2020 accounted for 71% of sales, which was similar to the proportion recorded in 2019.
The year-end order backlog was slightly lower in 2020 ($12.6 billion versus $13.5 billion in 2019). Export customers accounted for 79% of the 2020 total.
As part of our promise to deliver comprehensive coverage to our Defence Insight and Premium News subscribers, our curated defence news content provides the latest industry updates, contract awards and programme milestones.
You may also like
More from Defence Notes
-
![UK releases security strategy and plans for future defence spending boost]()
UK releases security strategy and plans for future defence spending boost
The UK’s National Security Strategy brings together the recently released Strategic Defence Review (SDR), Strategic Security Review, AUKUS Review and Industrial and Trade Strategies. At the same time, the UK made a commitment to reach defence spending of 5% of GDP by 2035 and Germany committed to 3.5% by 2029.
-
![Pentagon’s FY26 defence budget proposal is $130 billion more than US Congress plans to provide]()
Pentagon’s FY26 defence budget proposal is $130 billion more than US Congress plans to provide
The House Committee on Appropriations approved a FY2026 bill reducing investments in main defence programmes.
-
![What role could holographic and 3D capabilities play in the warfare of tomorrow]()
What role could holographic and 3D capabilities play in the warfare of tomorrow
Holographic and 3D technologies have been lauded by some for their ability to provide technical and operational advantages for military training and planning. But is the hype truly justified?
-
![Unfolding the Golden Dome for America: Seven things you should know about the programme]()
Unfolding the Golden Dome for America: Seven things you should know about the programme
Shephard talked to multiple experts about the most pressing concerns and considerations regarding the air defence system advocated by President Trump.
-
![Industry welcomes UK Strategic Defence Review, but pressure remains on future defence investment plans]()
Industry welcomes UK Strategic Defence Review, but pressure remains on future defence investment plans
While industry reception to the SDR has been positive, questions still remain from analyst and trade associations about what this could mean for future investment and the future UK Defence Industrial Strategy.
