Latest news with #KGMobility
Yahoo
15-05-2025
- Automotive
- Yahoo
KGM signs 'national car' EV partnership in Indonesia
South Korean automaker KG Mobility (KGM) Company has announced it has signed an agreement with Indonesian state-owned defense company PT Pindad to collaborate in the production of vehicles for the local market. The two companies signed a Head of Agreement (HOA) last week focusing on two key areas: the local assembly of KGM's Rexton SUV and the development and production of battery-powered buses for the local market. The signing ceremony was held at Pindad's headquarters in Bandung, the provincial capital of West Java, and was attended by KGM chairman Kwak Jea-sun and CEO Hwang Ki-young, along with Pindad CEO Sigit P Santosa. KGM said in a statement that the two companies plan to 'collaborate on the Indonesian government's 'National Car Project' and the local production of electric buses, based on KGM's electric vehicle lineup and KGM Commercial Vehicle's (KGMC) electric bus platform.' KGM confirmed it will provide engineering and technical support for 'product feasibility reviews and localized vehicle development.' KGM stated that the two parties have agreed to 'actively cooperate to gradually expand the joint development projects to a scale of 200,000 units, including additional new model supply and support for Pindad's leadership in both the national car initiative and electric bus production in Indonesia.' According to KGM, Pindad currently supplies more than 70% of Indonesia's military vehicles, including armored vehicles, and other equipment. KGM pointed out that it exported 1,060 Rexton SUVs as knocked-down units to Indonesia last year, and that it plans to increase this to 3,000 units in 2025. In addition to Indonesia, KGM said it signed a preliminary agreement in March 2025 with Peru's with Fabrica de Armas y Municiones del Ejército (FAME) for the supply of official government vehicles and joint technology cooperation. Chairman Kwak Jea-sun said in a statement: 'The Musso Sports and Rexton have already proven their quality and performance in global markets, having been adopted as official government vehicles in the UK, Bulgaria, and Peru. Indonesia, being the largest automotive market in Southeast Asia with immense growth potential, is a strategic and promising opportunity for us. KGM will dedicate its efforts to expanding sales through differentiated product competitiveness and market-specific strategies.' "KGM signs 'national car' EV partnership in Indonesia" was originally created and published by Just Auto, a GlobalData owned brand. The information on this site has been included in good faith for general informational purposes only. It is not intended to amount to advice on which you should rely, and we give no representation, warranty or guarantee, whether express or implied as to its accuracy or completeness. You must obtain professional or specialist advice before taking, or refraining from, any action on the basis of the content on our site. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
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Korea Herald
14-05-2025
- Automotive
- Korea Herald
[Photo News] KG Mobility makes Italy debut
Lee Byung-kil (right), head of the Europe and Latin America business division at KG Mobility, and representatives of the carmaker's Italian dealers attend the launch event of its flagship sport utility vehicle, the Actyon, in Florence, Italy, on May 6. The carmaker said Wednesday that it plans to introduce additional models in Italy, including the Musso EV pickup and the Torres Hybrid SUV, aiming for annual sales of 5,000 vehicles. (KG Mobility)
Korea Herald
13-05-2025
- Automotive
- Korea Herald
KGM partners with Indonesia's Pindad for EV, defense cooperation
KG Mobility said Tuesday it is set to supply electric buses and military vehicles to Indonesia through PT Pindad, a state-owned defense company under the country's Ministry of Defense. The signing ceremony for the head of agreement — a non-binding preliminary document outlining the key terms of a proposed deal — took place on Thursday at Pindad's headquarters in Bandung, Indonesia. Key figures attended the event, including KGM Chairman Kwak Jae-sun, KGM CEO Hwang Ki-young, KGMC CEO Kim Jong-hyun and Pindad CEO Sigit P. Santosa. Under the agreement, KGM plans to jointly develop 200,000 electric buses with Pindad as part of Indonesia's national car project — to produce electric vehicles within the country, with a target of deploying 2 million electric vehicles and 12 million electric two-wheelers by 2030. The automaker will support the product review, as well as the technology and engineering of the vehicle. Last year, KGM exported 1,060 units of Rexton pickup knockdowns — partially assembled vehicles — for military use to Indonesia and plans to export 3,000 units this year. 'The Musso Sports and Rexton have garnered global recognition in the global market, having been supplied as official vehicles to countries such as the UK, Bulgaria and Peru,' stated KGM Chairman Kwak Jae-sun. 'With Indonesia emerging as the largest automotive market in Southeast Asia and possessing significant growth potential, it presents highly attractive business opportunities. KGM is committed to expanding its sales volume by leveraging our unique products and strategic marketing approach.' In March, KGM also signed a memorandum of understanding with Fabrica De Armas Y Municiones Del Ejercito, a state-owned enterprise under the Peruvian Army, to increase the supply of official vehicles and technological cooperation, accelerating its penetration into emerging markets and expanding business operations.
Yahoo
06-05-2025
- Automotive
- Yahoo
Mahindra & Mahindra Ltd (MAHMF) Q4 2025 Earnings Call Highlights: Strong Growth in Auto and ...
SUV Volumes: Up 20% year-over-year. Auto Market Share: Increased by 210 basis points to 22.5%. Auto Margins: Improved by 110 basis points. Farm Market Share: Increased by 170 basis points to 43.3%. Farm Margins: Increased by 210 basis points to 18.4%. Mahindra Finance Profit: Stand-alone profit exceeded INR 2,300 crores, up from INR 1,900 crores. Consolidated Profit Growth: 20% increase, excluding KG Mobility mark-to-market adjustments. Revenue Growth: Consolidated revenue up 14%, stand-alone revenue up 17%. Auto Profitability: 25% growth year-over-year. Farm Profitability: 30% growth year-over-year. Tech Mahindra Profit Growth: Over 80% year-over-year. Mahindra Finance Asset Growth: 17% increase in assets under management. Cash Generation: Close to INR 10,000 crores generated during the year. Impairment Impact: INR 654 crores impairment in stand-alone results, INR 156 crores impact in consolidated results. Warning! GuruFocus has detected 5 Warning Sign with MAHMF. Release Date: May 05, 2025 For the complete transcript of the earnings call, please refer to the full earnings call transcript. SUV volumes increased by 20%, surpassing the mid- to high-teens target. Market share in the Auto sector rose by 210 basis points to 22.5%, and Auto margins improved by 110 basis points. Farm sector market share increased to 43.3%, with margins up 210 basis points to 18.4%. Mahindra Finance achieved a significant transformation, reducing GNPAs from 7-8% to less than 4%, while maintaining profitability. Consolidated profit growth of 20%, with a 14% increase in revenue and a 17% rise in stand-alone revenue. Write-offs were necessary for category B businesses, including MAM in Japan and Sampo in Finland, due to lack of profit trajectory. International markets negatively impacted Farm sector revenue growth, which was only 6% due to challenges in Turkey, Brazil, and the US. Logistics business struggled, requiring new leadership to drive future growth. Competitive intensity in the Farm sector could impact future margins if it increases. Challenges in the EV segment include managing customer delivery experiences and ensuring adequate production ramp-up. Q: Can you provide insights on the electric vehicle (EV) mix and margins, and how they might change over time? A: Rajesh Jejurikar, Executive Director and CEO of Auto and Farm Sector, explained that the current bookings are heavily skewed towards the top-end PACK-3, with over 75% of bookings. The mix is expected to change as display and test drive vehicles for PACK-2 and PACK-1 become available. The company benefits from operating leverage due to shared facilities at the Chakan plant, and the main variables affecting margins will be the mix of PACKs and global cell price movements. Q: Are all costs, including depreciation, fully factored into the EV margins? A: Yes, according to Rajesh Jejurikar, depreciation for the two launched EV products is fully captured starting from the fourth quarter. Amarjyoti Barua, Group CFO, added that costs are capitalized and will be depreciated as new products are launched. Q: How does Mahindra & Mahindra view the demand for ICE vehicles and capacity expansion? A: Rajesh Jejurikar noted that capacity expansion should not be directly equated with volume growth, as some new products will replace existing ones. He emphasized that India is at an early stage of vehicle penetration, and the company is optimistic about leveraging this growth. The company expects to grow faster than the market, driven by a strong product portfolio. Q: What are the key learnings from the initial deliveries of EVs, and how will they be incorporated into future products? A: Rajesh Jejurikar highlighted the importance of customer experience, noting that delivery processes are more complex than anticipated. The company is focusing on improving software updates and customer interactions. They have decided to slow down deliveries to ensure a high-quality customer experience, emphasizing the need for thorough tutorials and support. Q: What differentiates Mahindra's EVs from competitors, and how does the company plan to maintain a sustainable lead? A: Rajesh Jejurikar outlined several differentiators, including aspirational design, advanced features not available in luxury cars, and leveraging existing manufacturing and dealer networks. These factors, combined with a strong product presence, create a competitive advantage. Anish Shah, CEO, added that the company's ability to integrate software and maintain high-quality standards is a key strength. For the complete transcript of the earnings call, please refer to the full earnings call transcript. This article first appeared on GuruFocus. Error while retrieving data Sign in to access your portfolio Error while retrieving data
Business Upturn
05-05-2025
- Automotive
- Business Upturn
Mahindra & Mahindra Q4 Results: Net profit grows 22% to Rs 2,437 crore
By Aditya Bhagchandani Published on May 5, 2025, 12:04 IST Mahindra & Mahindra (M&M) has reported a strong set of standalone numbers for the fourth quarter of FY25, led by robust volume growth in both its automotive and farm segments. The company posted a 24% year-on-year increase in revenue at Rs 31,609 crore, compared to Rs 25,434 crore in Q4 FY24. Net profit (PAT) rose 22% YoY to Rs 2,437 crore from Rs 2,000 crore in the same period last year. EBITDA for the quarter came in at Rs 4,219 crore, marking a 23% YoY growth. M&M also reported a total vehicle sales volume of 2,53,028 units, up 18% from 2,15,280 units in Q4 FY24. Tractor sales rose 23% YoY to 87,138 units. For the full fiscal year FY25, standalone revenue rose 17% to Rs 1,18,625 crore, while PAT grew 11% to Rs 11,855 crore. EBITDA for the year stood at Rs 18,416 crore, up 22% from the previous fiscal. The company clarified that these results include certain adjustments, such as the exclusion of KG Mobility's impact (noted separately) and a one-time impact of Rs 654 crore related to strategic shifts in the Farm International business. Mahindra also noted that its consolidated PAT for FY25 stood at Rs 12,929 crore, up 20%, with consolidated revenue touching Rs 1,59,211 crore. Aditya Bhagchandani serves as the Senior Editor and Writer at Business Upturn, where he leads coverage across the Business, Finance, Corporate, and Stock Market segments. With a keen eye for detail and a commitment to journalistic integrity, he not only contributes insightful articles but also oversees editorial direction for the reporting team.
