Daesung Hightech Secures $10.3 Million Defense Contract with Elmet International for 2026
Daniel Kim Views
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Digital Today
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[Military Times] Daesung Hightech (KOSDAQ: 129920) has secured a significant contract with Elmet International for the supply of critical components for ground and air-based guided weapon systems, the company announced on February 10, 2026.
The deal, valued at 10.29 billion KRW (6.99 million USD), represents 11.09% of Daesung Hightech’s recent annual revenue. Under the agreement, the company will supply essential parts to Romania’s defense sector.
The contract period spans from February 9, 2026, to June 30, 2027. Daesung Hightech will manufacture the components in-house. The terms stipulate no upfront payment, with funds to be transferred within 30 days after product delivery and successful inspection.
Daesung Hightech’s latest financial report shows total assets of 186.6 billion KRW (139.95 million USD), liabilities of 124 billion KRW (93 million USD), and equity of 62.6 billion KRW (46.95 million USD). The company reported sales of 92.8 billion KRW (69.6 million USD) but faced challenges with an operating loss of 13.1 billion KRW (9.83 million USD) and a net loss of 12.5 billion KRW (9.38 million USD).
The precision parts manufacturer made its debut on the KOSDAQ market on August 22, 2022, specializing in the production of high-tech machinery for specific applications.
Single Sales and Supply Contract Details
| 1. Contract Scope | Supply of components for ground and airborne guided weapon systems | |
| 2. Contract Specifics | Conditional Contract | Not applicable |
| Confirmed Contract Value | 10,291,256,930 KRW | |
| Conditional Contract Value | – | |
| 10,291,256,930 KRW | ||
| 92,831,306,875 KRW | Percentage of Annual Revenue | |
| – Partner’s Recent Annual Revenue (KRW) | 177,812,965,836 KRW | |
| – Partner’s Core Business | ||
| – | – History of Similar Contracts (Past 3 Years) | |
| 4. Supply Destination | ||
| 5. Contract Duration | Commencement | |
| June 30, 2027 | ||
| 6. Key Contract Terms | Advance Payment | |
| Full payment via wire transfer within 30 days post-delivery and inspection | In-house manufacturing | |
| Outsourced production | Not applicable | Other methods |
| 8. Contract Execution Date | February 9, 2026 | |
| Deferral Period | – | Reason for Deferral |
| 10. Additional Investment Considerations | 1. This contract exclusively covers the export of critical components for ground and airborne guided weapon systems. | |
| 4. The partner’s revenue of 599,686,236 RON was converted using the 2024 average exchange rate of 296.51 KRW/RON from the Seoul Foreign Exchange Market. | ||
| – | ||
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