Rafael Advanced Defense Systems Ltd. has released its financial results for 2022, which were approved by the company’s board of directors. Sales for the year were $3.45 billion, and the company made a net profit of $150 million (before a special tax on profits from the previous year).
The volume of orders is $4.8 billion, and the backlog of orders is $10.1 billion, which is about 3 years of sales. In 2022, Rafael paid the State of Israel a special tax of about $128 million based on the profits it had kept from the years before.
The backlog of orders breaks a record by going over $10 billion. It is now around $10.2 billion, compared to $9.2 billion at the same time last year. The increase is mostly due to orders coming in from Israel and other countries.
Without the special tax, the net profit in 2022 was about $150 million. In 2021, the net profit was about $133 million. In 2022, the business made about $3.45 million in sales, compared to about $3.07 billion in 2021.
Maj. Gen. (Ret.) Yoav Har-Even, CEO and President of RAFAEL, said, “This financial year brought technological breakthroughs and marketing achievements, both in Israel and around the world, as well as again very promising financial results. “Despite the challenges and complexity of the past year, RAFAEL remained a central pillar of the country’s security, making important contributions to the IDF and the defense establishment as a whole by providing a wide range of products.
In 2022, Rafael made a number of big steps forward in terms of both development and testing, as well as in terms of commercial success and business operations. One of these was the successful testing of the IRON BEAM High Energy Laser Weapon System, which is a powerful laser system designed to stop aerial threats and work with the IRON DOME system.
Also in 2022, RAFAEL and Lockheed Martin signed a strategic teaming agreement for the development of the IRON BEAM system. The company also finished a live fire test of the “IRON DOME” battery with the help of the US Army. RAFAEL showed off the new SPIKE NLOS 6th Generation Missile, which is the most advanced anti-tank missile in the world, and tested the C-DOME, which is the naval version of the IRON DOME.
The company made the advanced air-to-ground missile called ICE BREAKER. It was the first Israeli missile to have an advanced electro-optical homing warhead that could classify targets on its own.
RAFAEL bought two international companies, PVP of the United States and Pearson Engineering of the United Kingdom, to help the company do more business during the 2022 Fiscal Year.
RAFAEL also reached a milestone in 2022 when about 1,300 new employees joined the company. With about 8,000 employees, RAFAEL is the largest employer in the northern part of Israel. Each year, the company buys services from subcontractors, most of whom are in the north of the country, for about $4 billion.
About 8.9% of the company’s total sales go toward investments in research and development. These investments include joint projects with academic institutions in Israel and other countries as well as participation in a wide range of community activities, such as working with startups and innovation centers.
