[Market Highlight] AP Satellite Soars on News of UAE Supply Contract

As of 9:30 a.m. on May 21, AP Satellite's stock price on the KOSDAQ market was up 15.14% from the previous day's closing price, trading at 13,610 won. This appears to be due to the announcement the previous day of a large-scale supply contract with a telecommunications service company in the United Arab Emirates (UAE).

Other aerospace stocks also showed upward trends, influenced by media reports that Samsung C&T is in discussions with the Korea Aerospace Research Institute, Seoul National University, and others to jointly build a space launch pad, as well as the announcement of the next-generation space-based defense system "Golden Dome" by the Trump administration in the United States.

The previous day, AP Satellite announced that it had signed a contract to supply satellite communication terminals worth 5.2 billion won to Thuraya Telecommunication Company of the UAE. The contract amount is equivalent to 8.8% of last year's sales of 58.6 billion won. The contract period runs from May 12 to November 15 of this year.

AP Satellite is engaged in both the satellite and satellite component business, as well as the satellite communication terminal business.

Regarding the satellite and satellite component business, the company has participated for several years in national space development projects, contributing to the development of satellite main body systems, localization of satellite payloads, localization of satellite test EGSE, and satellite AIT (Assembly, Integration & Test), among other space technology localization efforts. Last year, revenue from the satellite and satellite component business was 24.2 billion won, more than double the previous year.

The main customer of the satellite communication terminal business is Thuraya, with whom the contract was signed the previous day. Thuraya provides mobile satellite communication services using two geostationary satellites, covering all of Asia?including Korea and Japan?as well as Europe, Africa, the Middle East, and Australia. Revenue from the satellite communication terminal business last year decreased by 14.8% compared to the previous year.

AP Satellite has participated in most government-led satellite projects, including multipurpose practical satellites, next-generation medium-sized satellites, Cheollian satellites, and KPS satellites. The company has been responsible for the design and development of the main electronic equipment for the lunar exploration test orbiter (the first phase of the Danuri project), as well as the development of small performance verification satellites. The company is also expected to participate in follow-up projects such as the lunar lander, test lunar orbiter, and STEP satellite (small satellite development project) in the upcoming second phase of lunar exploration.

This content was produced with the assistance of AI translation services.