GRUPO KUO, S.A.B. de C.V.(formerly DESC, SA. De CV) Business Report FY2010
|(in million USD)|
|FY2010||FY2009||Rate of Change
-Sales were US $313 million in 2010, a 5% decline from the US $330 million reported in 2009. This is explained by the stabilization of demand for the TR6060 transmission for the Camaro application and also by lower AM General requirements at the Power Systems SBU. The above was partially compensated by the increase in sales at the Aftermarket SBU, essentially due to higher orders from domestic and export customers as a result of the recovery in the spare parts market. In pesos, sales at KUO Automotive in 2010 totaled Ps. $3.959 billion, a decline of 11% from 2009.
-Results after general expenses in dollars was US $19 million, that is, at the same level of 2009 and the EBITDA decreased 5%, to US $35 million. The situation was due to increased sales at the Aftermarket SBU which partially offset the fall in sales at the Power Systems SBU.
-In pesos, results after general expenses and EBITDA declined 6% and 11%, totaling Ps. $246 million and Ps. $439 million, respectively.
-The Company has executed an agreement with India's automotive parts supplier Divgi Metalware Pvt Ltd to form a new joint venture. Grupo KUO will own a 60% interest in the JV called "KUO DIVGI". The new company will start producing manual transmissions and other components for cars and commercial vehicles during the second half of 2010. Those products will be supplied to the South Asian nations including India. The entity has already received its first purchase order to supply transmissions in India. (From a press release on June 7, 2010)
Divestitures-Sold 50% of the share capital of the CIE - DESC Automotive, S.A. de C.V. to CIE Automotive for 54.5 million USD. (From a press release on January 28, 2010)
|(in thousands of Mexican pesos)|