GRUPO KUO, S.A.B. de C.V. (Formerly DESC, SA. De CV) Business Report FY ended Dec. 2012
|(in million USD)|
|FY ended Dec. 31, 2012||FY ended Dec. 31, 2011||Rate of Change
-Sales by KUO Automotive were 413 million US dollars in 2012, an increase of 27.1% in comparison to the 325 million US dollars reported in 2011. Factors of this increase are;
a. Incorporation of the spare brake business under the FRITEC brand purchased in 2011.
b. Increase in sales primarily in the engine parts from aftermarket.
c. Increase in sales for different components and transmissions at the Power systems.
d. Incorporation of the dual clutch transmission business in Belgium.
-For 2012, the EBITDA was 52 million US dollars or 62.5% increase of 2011, due to the aforementioned incorporation of the FRITEC brand and higher sales at the Power systems, as well as lower operating expenses.
Joint Ventures-In 2012, the Company announced that it increased its equity stake in KUO Divgi Automotive Private Limited, its transmissions and transmission components business in India, to 96.5%; through its subsidiary KUO INDIA, S.A. de C.V. Under the agreement executed to form the joint venture with Divgi Metalwares Pvt. Ltd., Grupo KUO held a 60% stake in KUO Divgi. Starting on the date it increased its equity participation in KUO Divgi, KUO INDIA may exercise a purchase option for the remaining 3.5%, owned by Divgi, to consolidate its 100% ownership in KUO Divgi. Grupo KUO said that it is in process of building a plant in the city of Pune, which is expected to be operational in 2013. (From a press release on November 1, 2012)
Acquisitions-In Jan. 2012, Grupo KUO, S.A.B. de C.V., by its subsidiary Transmisiones y Equipos Mecanicos, S.A. de C.V., acquired the assets of Hoerbiger Drivetrain Mechatronics B.V.B.A. in Loppem, Belgium. Hoerbiger Drivetrain Mechatronics develops mechatronics and software for dual-clutch transmissions. In 2010, the acquired business recorded sales of approximately 17 million USD. Its circle of customers includes transmission manufacturers in Europe. (From a press release on January 12, 2012)
-In 2011, the Company acquired FRITEC company of Mexico, an manufacturer of the replacement brake parts.
Divestitures-In 2009, the Company totally divested the stamping, painting and assembly business.
|(in thousands of Mexican pesos)|
|FY ended Dec. 31, 2012||FY ended Dec. 31, 2011||FY ended Dec. 31, 2010|