Isarel Aerospace Industries (IAI) announced its annual results for 2020 on 18 March, revealing that – despite the ravages of the COVID-19 pandemic – the company’s resilience and strength remain unbowed.
Annual sales of US$4.2 billion (€3.5 billion) are the highest in the company’s history; net income, at $133 million (a 48% increase over 2019) sets a similar record; and IAI R&D activity exceeded $1 billion. The order backlog now stands at $12.6 billion, representing 3.13 years of operations, and free cash flow totals $1.3 billion. All together, a robust performance in trying times.
Board Chairman Harel Locker stated that “IAI has completed a 180° in recent years. In 2019 we saw unchartered achievements and 2020 was the highlight point for the company's business, operations and financial success since its establishment in 1953. IAI’s success is achieved in the midst of the ongoing global COVID-19 crisis. The company's achievements were made possible owing to managerial focus and business transformation. This success must be credited to the company's 1,500 employees. IAI is one of Israel's leading tech companies, adding to and demonstrating Israel's prowess to the whole world with its solid and stable business foundation for many years to come."
President and CEO Boaz Levy added "In 2020, IAI showcased breakthrough innovation and broad capabilities: from advanced technological developments for combatting the COVID-19 virus to the successful launch of [the] OFEK 16 advanced observation satellite, to groundbreaking experiments such as the ARROW weapon system, the LORA missile, the HERON TP, state-of-the-art assault systems developed by the company, the world's most advanced radar and intelligence systems, to leading the passenger-to-cargo aircraft conversion industry in the aviation world, winning the Israel Defense Prize and more. In addition, it is worth noting IAI’s efforts in fighting the COVID-19 pandemic, in particular orchestrating ventilator production lines. This year we also continued to demonstrate the proven capabilities of the company's systems worldwide, proving over and over their capabilities on the present and future battlefield. The year 2021 brings with it numerous challenges and innovation opportunities for IAI, based especially on continuing to develop current markets and penetrating new markets. I have no doubt this year IAI will, as it has throughout its many years in operation; continue to lead Israel's defense industries towards business growth which will benefit Israel's economy and security."