CBI "Following Last Year's Record Sales, Expecting Another Year of Historic Growth"

[Asia Economy Reporter Jang Hyowon] CBI, a company listed on KOSDAQ, announced on the 2nd that it recorded the highest sales since its establishment last year and expects to continue its high growth this year.

According to CBI's quarterly report, the cumulative sales of 25.1 billion KRW in the third quarter of last year already exceeded 91% compared to the same period of the previous year, indicating that the sales target of 30 billion KRW for last year was virtually surpassed.

A CBI official stated, “The record sales last year and the continuation of a stable financial structure were largely due to the core role played by our main business sector, automotive materials and parts,” adding, “More than half of the total sales are directly exported overseas.”

CBI explained that the demand for parts of HDEP and MDEG engines, which are supplied to global clients such as Germany’s Daimler Truck AG and the United States’ Detroit Diesel (DDC), has reached an all-time high and continues to increase steadily.

Furthermore, the positive effect of improved operating profit due to the strong foreign currency was followed by the recent start of mass production of key items under an exclusive supply structure to BorgWarner Global in North America, and maintaining an exclusive supply structure to GM in South America, accelerating sales growth.

In addition, amid the ongoing Russia-Ukraine war and rising prices, global demand for domestically produced agricultural machinery continues to increase steadily, and CBI is also showing prominence in the domestic market through orders and expanded supply volumes of related parts.

CBI stated, “By implementing thorough cost management and flexible business strategies, the automotive parts business sector is expected to achieve additional growth and maintain a stable profit compared to the previous year. Efforts made through business diversification will lead to tangible results this year, and we plan to further specify new businesses and strengthen related organizations.”

They added, “We will formalize our entry into the electric vehicle market, including the launch of the electric commercial vehicle ‘K1V’ that has been promoted for a year, and the development of electronic components. At the same time, we will accelerate the development and expansion of the pipeline held by ‘Kineta,’ which is listed on NASDAQ, and through cooperation with Daehan Green Power, we will actively promote renewable energy projects to practice ESG management and maximize shareholder value, making this year the first year of CBI’s new growth engine.”