S&T Motiv Co., Ltd. (Formerly S&T Daewoo Co., Ltd.) Business Report FY ended Dec. 2014
Highlights in Recent Years
Financial Overview (Consolidated) |
(in millions KRW) |
| FY ended Dec. 31, 2014 |
FY ended Dec. 31, 2013 |
Rate of change | Remarks | |
| Sales | 1,099,294 | 874,892 | 25.6 | Sales by product (Ratio) -Chassis parts : 246,949 million won (21.0%) -Motors : 215,951 million won (21.0%) -Electronic and electric products : 109,596 million won (9.3%) |
| Operating income | 69,008 | 55,449 | 24.5 | - |
| Net income | 63,510 | 29,894 | 112.5 | - |
Outlook
-The Company announced its financial forecasts for 2014. Sales are expected to reach KRW 1,082.4 billion, an increase of 12.7 percent from the previous year's KRW 960.2 billion. Operating profit is expected to be KRW 68 billion, an increase of 31.0 percent from the previous year's KRW 51.9 billion. According to the company's forecasts, sales and operating profit are expected to increase further over the next couple of years. In 2015 sales are projected to reach KRW 1,251.5 billion, while operating profit is projected to reach KRW 90 billion. Sales and operating profit forecasts for 2016 are KRW 1,423 billion and KRW 110 billion, respectively. (From a press release on November 11, 2014)
Contracts
<Hyundai/Kia>
-S&T AMT Co., Ltd. in the S&T Group has been producing and supplying brake calipers for the Sonata LF built at Hyundai Motor Manufacturing Alabama in the U.S. Delivery of these brake calipers began in April 2014, and S&T AMT will provide 600,000 units until the end of 2015. In addition to winning the Sonata program, the company has been awarded a contract to supply 500,000 brake calipers per year for the successor model to the Kia K5, starting in May 2015. S&T AMT, located in Changwon, Kyongsang-namdo, is capitalized at KRW 4,710 million. It generated KRW 41,001 million in sales during 2013. (From a press release in July 2014)
Subsidiaries
<USA>
-In April 2014, S&T Motiv America Co., which is S&T Motiv's holding company in the U.S., formed S&T Automotive America, LLC. The new company is fully owned by S&T Motiv America and will establish a shock absorber plant in Grove City, Ohio. (From a press release on August 12, 2014)
<China>
-S&T Daewoo Automotive Components (Kunshan) Co., Ltd. in Kunshan, Jiangsu Province, China plans to mass-produce oil pumps for 6-speed transmission, starting in 2015. These oil pumps will be used on General Motors' compact and semi-large vehicles. This business with General Motors is expected to add KRW 320 billion to the company's revenue. S&T Daewoo Automotive Components (Kunshan) already supplies shock absorbers. It also manufactures airbags and instrument panels. (From a press release on January 2, 2014)
Divestiture
-In January 2014, the Company announced that it will sell the entire 32.1 percent shareholding it has in S&T Motors in order to streamline its operations and strengthen its financial stability. S&T Motiv will receive KRW 32 billion for the deal. S&T Motors is a motorcycle manufacturer based in Changwon, Kyongsangnamdo. (From a press release on January 23, 2014)
R&D
R&D Structure
-The Company conducts its development activities mainly at its technical research center in Busan.-The Company has a total of 165 researchers at its technical research center and electronic component division as of December 31, 2014.
R&D Expenses |
(in millions KRW) |
| FY ended Dec. 31, 2014 | FY ended Dec. 31, 2013 | FY ended Dec. 31, 2012 | |
| Amount | 20,608 | 22,106 | 20,753 |
| % of Sales | 1.7% | 2.3% | 2.3% |
Development Activities by Business Division
|
Business |
Overview |
| Motor | - The Company is increasing its shares in the powertrain motor and sunroof motor markets. - The Motor-Driven Power Steering (MDPS) systems, brushless motors, and high-power motors made by the Company are featured in an increasing number of vehicle models. - The Company is developing motors for use in next generation vehicles as well as motors to support X-by-wire technology. |
| Electronic | - The Company developed remote keyless entry systems in 1986. After that, it developed immobilizers and body control modules (BCMs), which are now being mass produced. - Recently it developed a motor-integrated sunroof controllers with an anti-pinching protection function. |
| Vehicle Information System |
- In 1987, the Company formed a technical alliance with Calsonic Kansei Corporation. - In 1995, the Company successfully developed instrument panels in-house. |
| Chassis | - In the initial stage, the Company developed its chassis business by collaborating with Boge of Germany, which is now called ZF Sachs. - After that, it developed chassis products on its own, supplying them for use in new vehicle models. - Currently it is transferring its technology to Gabriel India. |
| Airbag | - In the initial stage, the Company developed its airbag business through its technical collaboration with TRW and Breed (now called KSS) based in the U.S. - After that, the Company was successful in developing airbags on its own. |
| Engine components |
- In the initial stage, the Company conducted its development activities based on a technical partnership with AC Rochester (now called AC Delco). - After that, it developed engine components on its own, supplying them for use in new vehicle models. - The Company developed and started commercial production of semi-electronic control throttle bodies in order to support increased use of electronic parts in automobiles. |
Recent Developments
| X26R/X39F auxiliary pumps (Hybrid automatic transmissions) |
Mar. 2010 - Feb. 2014 |
| Shock absorbers (For the successor model of the GM Chevrolet Spark) |
Sep. 2011 - Mar. 2015 |
| Airbags (For the successor model of the GM Chevrolet Spark) |
Sep. 2011 - Mar. 2015 |
| Instrument panels (For the successor model of the GM Chevrolet Spark) |
Jul. 2012 - Jan. 2015 |
| Shock absorbers (For the successor model of the Shanghai GM Chevrolet Cruze) |
Nov. 2011 - Apr. 2014 |
| Shock absorbers (For Dongfeng Motor) |
Dec. 2011 - Jun. 2015 |
| GF6-GEN3 oil pumps (6-speed automatic transmissions) |
Jun. 2012 - Dec. 2014 |
| X51R ATM oil pups (For the GM North America 8-speed automatic transmissions) |
Dec. 2012 - Jun. 2014 |
| MDPS motors (For the Hyundai Sonata, GC, PF) |
Dec. 2012 - May 2014 |
| HSGs (For the Hyundai Sonata) |
Mar. 2013 - May 2014 |
| Brake motors (For the Hyundai HEV) |
Jul. 2013 - Oct. 2015 |
| DCT shift/select motors (For the Hyundai HEV) |
Jan. 2014 - Jun. 2015 |
| TNBs (For Toyota, PSA) |
Mar. 2013 - May 2014 |
| HVAC switches (For the GM M2XX) |
Jul. 2012 - Jan. 2015 |
| HSG (For the Hyundai AE) |
May 2013 - Dec. 2015 |
| Instrument panels, remote keyless entries/immobilizers (For the AvtoVAZ NIVA) |
Oct. 2013 - Dec. 2015 |
| HVAC switches (For GM Brazil) |
Dec. 2013 - Apr. 2016 |
| BWTTS縲P558 transfer cases (For the Ford Truck) |
Jan. 2014 - Apr. 2015 |
| TNBs (For the PSA K0 project) |
Jan. 2014 - Jan. 2016 |
| Instrument panels (For the GM Uzbekistan M150, T250, J200) |
May 2014 - Apr. 2016 |