Sungwoo Hitech Co., Ltd. Business Report FY ended Dec. 2014

Highlights in Recent Years

Financial Overview (Consolidated)

(in millions of won)
FY ended Dec. 31, 2014 FY ended Dec. 31, 2013 Rate of
Change (%)
Sales 3,272,703 3,105,869 5.4 -
Operating income 193,033 213,480 (9.6) -
Net income 130,526 153,403 (14.9) -

Overseas Business

-In November 2014, the Company announced that it has established Sungwoo Hitech Mexico S.A. de C.V. in Mexico. The new company is owned 70 percent by Sungwoo Hitech. It will produce automotive body components for Kia Motors' new vehicle assembly plant in Mexico that is scheduled to go into production in 2016. (From a press release on November 25, 2014)

-In June 2014, the Company announced that it will invest KRW 16,623 million to establish a new plant for WMU Beteiligung GmbH in Germany. Sungwoo Hitech also said it will change the name of this subsidiary to WMU Bavaria GmbH. (From a press release on June 24, 2014)

-In April 2014, the Company announced that the company now has a 95.0 percent share in Sungwoo Gestamp Hitech (Chennai) Ltd. (SGH), its Indian joint venture company it established with Gestamp of Spain. Previously, Sungwoo's shareholding in the joint venture was 45.0 percent. The joint venture supplies automotive body components to Hyundai Motor's plant in India. (From a press release on April 30, 2014)

-In April 2014, the Company announced that the company now has a 50.5 percent share in Gestamp Sungwoo Hitech (Chennai) Private Limited (GSH), which produces automotive body components in India. GSH was created jointly with Gestamp of Spain in 2006. Sungwoo Hitech previously owned a 25.2 percent share in the joint venture. (From a press release on April 30, 2014)


-The Company's Seochang Plant in Gyeongsangnam-do began to produce front side members made of high-toughness aluminum. Switching to the new front side members will reduce a vehicle's weight by 6.6 kilograms. According to Sungwoo Hitech, the company generates KRW 860 billion in sales of front side members each year, and holds an approximately 4.4 percent share of the world's KRW 20 trillion market. (From a press release on March 11, 2014)


-In October 2014, the Company was awarded the Hyundai-Kia Automotive Group's Outstanding Contribution Award in the area of R&D. The award was presented at the R&D Tech Festival held at the automaker's Namyang research center. Sungwoo Hightech was recognized for both its innovative new technology and its advanced digital vehicle development technology. (From a press release on October 29, 2014)

-In January 2014, the Company announced that it won Hyundai Motor's Supplier of the Year 2013. The award was given for the supplier's outstanding technical contribution to quality improvements and for its major efforts in developing long-standing business relationship with the Hyundai-Kia Group. This is the second time that Sungwoo Hitech has won the automaker's Supplier of the Year, following its achievement in 2006. Ever since 2007, the company has continuously earned 5-star technology rating from the Hyundai-Kia Group. (From a press release on January 15, 2014)

Subsidiaries/Affiliates (Korea)

-In September 2014, the Company announced that it will acquire 100 percent of Sungwoo Mold Co., Ltd.'s shares in order to strengthen its mold and die business. Sungwoo Mold, headquartered in Yangsan, Gyeongsangnam-do, generated KRW 15,115 million in sales in 2013. (From a press release on September 18, 2014)

R&D Structure

-In October 1994, the Company established a technical center in Pusan, which consists of the following two teams : advanced technology team and product engineering team.
-The Company conducts product engineering activities also in Suwon City, Gyeonggi-do.
-Overseas, the Company has an R&D center in the Czech Republic.

R&D Expenditure

(in millions of won)
FY ended Dec. 31, 2014 FY ended Dec. 31, 2013 FY ended Dec. 31, 2012
Amount 18,288 18,922 14,874
% of Sales 0.6% 0.6% 0.5%