Earnings Alerts

Korean Air Lines (003490) Earnings Decline: 1Q Operating Profit Falls 20% Year-on-Year

  • Korean Air’s parent operating profit was 350.9 billion won in the first quarter of 2025, showing a decrease of 20% compared to the previous year.
  • The parent net profit stood at 193.2 billion won, marking a significant drop of 44% year-over-year.
  • Despite the decreases in profit, Korean Air’s parent sales increased by 3.5%, reaching 3.96 trillion won.
  • Market analysts have given Korean Air 13 buy ratings and 1 hold rating, with no sell ratings noted.
  • The performance results are compared to figures from Korean Air’s previous disclosures.

Korean Air Lines on Smartkarma

Analyst coverage on Korean Air Lines by Douglas Kim on Smartkarma reveals insights into potential trading opportunities and industry consolidation. In the report “Korean Holdcos Vs Opcos Gap Trading Opportunities in 2Q 2025,” Kim identifies pricing gap divergences among Korean holdcos and opcos, suggesting trading opportunities as these gaps potentially close. With the resurgence of short selling in Korea, pair trades among major Korean holdcos/opcos are gaining interest for investors.

In another report titled “Korean Air Spearheading the Korean Airline Industry Consolidation,” Douglas Kim discusses the long-awaited merger between Korean Air and Asiana Airlines. Despite delays, the merger is poised to receive final approval from the U.S. Department of Justice. Kim highlights the enhanced prospects of the merged entity, citing attractive valuations, a stronger balance sheet, and improved profitability. This analysis suggests that Korean Air’s shares could outperform KOSPI in the coming year.


A look at Korean Air Lines Smart Scores

FactorScoreMagnitude
Value4
Dividend4
Growth5
Resilience2
Momentum3
OVERALL SMART SCORE3.6

Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma

Based on the Smartkarma Smart Scores, Korean Air Lines is positioned for strong long-term growth. With high scores in Value, Dividend, and Growth, the company showcases a solid foundation for future success. Its commitment to providing value to investors, distributing dividends, and focusing on growth opportunities bodes well for its financial performance in the coming years.

However, Korean Air Lines may face challenges in terms of resilience and momentum, as indicated by lower scores in these areas. It will be crucial for the company to address these aspects to ensure its ability to weather market fluctuations and maintain a positive momentum in the competitive airline industry. Overall, Korean Air Lines‘ diverse range of services, encompassing passenger and cargo transportation, aircraft maintenance, and air catering, positions it well for continued growth and success in the global aviation market.


Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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