South Korean defense contractor LIG Nex1 announced Wednesday that it will distribute a total of 50,930 treasury shares to employees as a token of appreciation, with each employee receiving ten shares.

According to a disclosure filed with the Financial Supervisory Service, the company plans to dispose of treasury stock worth 15.87 billion won ($11.1 million) based on the closing price of 311,500 won per share as of Tuesday. The shares are expected to be distributed in May 2025 after final preparations are completed.

LIG Nex1 noted that the decision was made in response to internal sentiment after recent criticisms that the company’s performance-based bonuses fell behind other defense firms despite an ongoing boom in the defense industry fueled by a series of large overseas orders.

“The share grant has been in preparation for some time as a gesture of encouragement,” the company said in a statement. “It is intended to motivate all employees to unite in driving sustainable growth and propelling the company toward becoming a truly global defense leader.”

The firm’s strong performance is expected to continue in 2025. Financial data provider FnGuide projects LIG Nex1’s 2025 revenue to reach 3.8 trillion won and operating profit to hit 298.9 billion won, up 15.9 percent and 30.1 percent from the previous year respectively.

Korea Investment & Securities forecasts operating profits will grow 30.2 percent in 2026 and 39 percent in 2027, driven by full-scale revenue recognition from exports of the Cheongung-II surface-to-air missile system to Middle Eastern countries including the United Arab Emirates and Saudi Arabia. However, the firm warned that quarterly results may fluctuate due to seasonal factors.

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