Korean Air is expected to see a 7.5% increase in operating income next year compared with this year, and its share price is projected to rise from the current KRW 40,000 to KRW 42,000, according to the analysis. KB Securities evaluated the company’s profitability capacity and aviation market trend comprehensively through this study.
KB Securities research analyst Kang Seong-jin said, “Even under the harsh conditions of high exchange rates, high commodity prices, and high interest rates, K‑Air has shown a strong ability to generate profit.” He projected next year’s operating income at KRW 2.7 trillion, an increase of 158.9% over the same period last year, which is about 21.2% higher than the consensus among brokerage houses.
The researcher identified three key drivers behind K‑Air’s earnings growth. First, as foreign visitors from countries such as the United States and China increase their visits to Korea, airline fees rise, leading to a price hike of air tickets. Second, with the introduction of AI‑based flight‑volume forecasting and cargo‑management technology, freight demand has surged sharply; even if new aircraft production is delayed, the company expects to keep high load factors. Third, by merging with large carriers such as Asiana Air and Korean Air, operating costs and labor expenses are cut, and service quality improvements are expected to boost efficiency.
Kang added that “with the current environment of high exchange rates, high commodity prices, and high interest rates, if these factors remain at an average level, K‑Air’s operating income will rise even further,” and he evaluated the company as resilient against market volatility.