GKN Plc Business Report FY ended Dec. 2012
|(in million pounds)|
|FY ended Dec. 31, 2012||FY ended Dec. 31, 2011||Rate of change (%)||Factors|
|Sales by Division|
|Powder Metallurgy Division||874||845||3.4||2)|
1) Driveline Divison
-In 2012, the additional period of ownership of Getrag Driveline Products, which was acquired in September 2011, contributed to larger sales. Organic sales increased by 7%, including Constant Velocity Jointed (CVJ) Systems which grew 6% and non-CVJ sales which increased by 8%, compared with global vehicle production which was up 6%..
2) Powder Metallurgy Division
-In 2012, organic sales for GKN Sinter Metals increased 10% in North America, due to strong automotive production, and 1% in Europe, where automotive production fell 5%. Strong growth was achieved in China and modest growth achieved in India and Brazil where vehicle markets were more volatile.
Contracts-In 2012, the Company announced that its technologies are featured on several new vehicles, which will be presented at the Paris Motor Show 2012.
・ Mitsubishi's new "Outlander plug-in Hybrid" (PHEV) SUV features GKN Driveline's eTransmission and rear sideshafts, while the non-hybrid AWD version specification includes a Power Transfer Unit (PTU) and an electro-magnetic control device (EMCD).
・ The "Range Rover Evoque" has front and rear sideshafts, a PTU and a Rear Differential Module (RDM) plus an electronic torque manager (ETM2). Front and rear propshafts are also sourced from GKN Driveline.
・ "MINI Paceman" features a PTU, an EMCD plus front and rear sideshafts.
・ Volkswagen's new MQB platform-based "Golf" is equipped with GKN Driveline's countertrack CVJ systems. The AWD versions are fitted with GKN Driveline rear sideshafts, too.
・ Land Rover's fourth generation "Range Rover" sees a debut for GKN Driveline's new, CVJ sealing system.
(From a press release on September 27, 2012)
-In 2012, the Company announced that its technologies are featured on various vehicles, which will be presented at the Geneva Motor Show 2012.
・ Electronic Torque Vectoring (ETV) for the BMW "X6 M50d";
・ Electro-Magnetic Control Device (EMCD) for the "MINI JCW Countryman ALL4";
・ Power Transfer Unit (PTU) for the Ford "Kuga" and "MINI JCW Countryman ALL4";
・ Electronic Torque Manager (ETM) for the BMW "M6 Coupe";
・ Direct Torque Flow (DTF) for the Audi "A6 Allroad Quattro" and the Audi "RS4 Avant";
・ GKN Driveline CVJ systems for the BMW "M6 Coupe" and the Ford "Kuga".
(From a press release on March 7, 2012)
Joint Ventures-In 2012, the Company announced the dissolution of its Driveline joint arrangements with JTEKT Corporation in Thailand. GKN and JTEKT have concluded a Share Exchange Agreement under which GKN has acquired JTEKT`s 49% shareholding in GKN Driveline JTEKT Manufacturing Limited (GTM), and transferred to JTEKT its 49% shareholding in GKN JTEKT (Thailand) Limited (GTT). Following this dissolution, GKN now owns 100% of GTM (the manufacturing facility) and JTEKT now owns 100% of GTT (the sales and distribution arm). Each will operate independently except for the continuation of certain existing supplies of driveshafts to Toyota. GKN will pay JTEKT net consideration of approximately 7.7 million pounds which will be funded from the Group's existing resources, with further deferred consideration of 1.3 million pounds contingent upon GTM obtaining certain specified future business awards. (From a press release on January 27, 2012)
Awards-In 2012, GKN Sinter Metals has won a General Motors Supplier Quality Excellence Award. The award was given to the GKN Sinter Metals plant in Bad Bruckenau, Germany, one of eight European GKN Sinter Metals locations. GKN Bad Bruckenau has provided GM in Strasbourg with a range of clutch plates for automatic transmissions since 2005. (From a press release on November 27, 2012)
-In 2012, Schaeffler AG announced that it has honored GKN Sinter Metals GmbH, based in Radevormwald, Germany, with the 2012 Schaeffler Supplier Award. (From a press release on October 12, 2012)
Product DevelopmentCountertrack CVJs
-High efficiency and reduced fuel consumption.
-SX8 47 -standard: Target first launch in 2013.
Face spline - advanced wheel-hub interface
-Weight, backlash and assembly advantages.
-Launched on BMW "7 series" and will appear on the new BMW "5 and 6 series" all wheel drive vehicles in the end of 2011.
|FY ended Dec. 31, 2012||FY ended Dec. 31, 2011||FY ended Dec. 31, 2010|
|Powder Metallurgy Division||47||44||27|
Investments in UK-In 2012, the Company has announced investment of more than 12 million pounds in its Birmingham and Telford facilities, in UK. In Birmingham, GKN Driveline employs 650 people and supports key UK-based automotive marques: Jaguar Land Rover, Toyota, Nissan, Honda, Bentley and Lotus. In addition the facility supplies Renault, Fiat, Volvo and Dacia and also exports to Japan, South Africa, the U.S., Sweden, Belgium, Italy, Poland, Romania and Turkey. In addition to manufacturing, Birmingham is one of GKN Driveline's engineering design and test facilities. Nearby in Telford, GKN Land Systems which employs 900 people, is also investing in new manufacturing equipment for the production of structural components for the new Range Rover Sport. (From a press release on August 10, 2012)
Investments Outside UK<China>
-In 2012, GKN Powder Metallurgy held a ground breaking ceremony for a new manufacturing facility for GKN Sinter Metals in Yizheng, Jiangsu Province, China. The 26 million USD plant will cover an area of 30,000 square meters. It will produce small precision parts for automotive applications in engine, transmission, body and chassis, as well as a range of components for power tools, white appliances and other industrial and consumer applications. Production is expected to start by the fourth quarter of 2013 and upon completion the plant will have the capacity of 100 million components per year. (From a press release on November 8, 2012)
-In 2012, the Company announced that it opened its seventh Chinese production facility in Changchun, Jilin Province. Employing 250 workers, the new 13,900 square-meter plant will have the capacity to build one million sideshafts a year and a new 10,000-square-meter, phase-two expansion of the plant will increase its capacity to four million sideshafts within the next five years. This follows the opening in 2009, of a new plant in Wuhan, Hubei Province that produces sideshafts for automakers in central China. The 25,000 square-meter plant is expected to produce two million sideshafts by the end of the year. (From a press release on April 24, 2012)
-In 2012, the Company announced that GKN Driveline Trier in Germany opened a new 20 million euro investment in the facility creating a flowline. The investment automates the production of precision forgings used in the production of CVJ Systems. The new automated flowline will start production on July 1, 2012. (From a press release on June 29, 2012)
-In 2012, the Company expands its presence in Mexico, opening its third precision forge in Celaya. With an investment of 11.5 million USD, the 28,300 square-meters facility will produce over 15 million forgings annually. When fully operational later 2012, the new forge will employ 150 workers. Since 2005, GKN Driveline has invested more than 100 million USD in its Mexican operations and the company plans to invest a further 100 million USD over the next three years. The capacity for CVJ Systems will increase from six million in 2011 to nine million in 2013. The GKN Driveline workforce in Mexico will also expand, from 1,300 in 2011 to 1,700 this year. (From a press release on June 7, 2012)