DN Automotive Reports Q2 Operating Profit of 148.6 Billion KRW with 16.8% Profit Margin

Operating Profit in the First Half Increased by 5.5% to 272.3 Billion KRW

DN Automotive announced on the 14th that it achieved consolidated sales of 885.2 billion KRW and an operating profit of 148.6 billion KRW in the second quarter of this year. Sales increased by 6.5% compared to the previous year, and operating profit rose by 16.9%. The operating profit margin was 16.8%.

In the first half of this year, sales reached 1.6661 trillion KRW, and operating profit was 272.3 billion KRW. Compared to the previous year, sales increased by 0.3%, and operating profit grew by 5.5%. The operating profit margin rose by 0.8 percentage points from 15.5% to 16.3%. Net income was 187 billion KRW, a 23.0% increase from 152 billion KRW last year.

DN Automotive posted high profit margins across all business areas in the first half of this year.

Its subsidiary DN Solutions recorded sales of 1.001 trillion KRW and an operating profit of 208.5 billion KRW, achieving an operating profit margin of 20.8%, maintaining a 20% range operating profit margin following 21.5% in the same period last year.

The combined operating profit of DN Automotive’s vibration control parts division and battery division was 73.3 billion KRW, a 103.4% increase from 36 billion KRW in the first half of last year. Accordingly, the operating profit margin reached 11.0%, up 4.9 percentage points from 6.1% last year.

The vibration control parts division’s sales increased by 7.7%, from 451.7 billion KRW last year to 486.6 billion KRW this year. This was due to increased demand from major overseas automakers such as Stellantis and GM.

The battery division’s sales rose sharply by 26.5%, from 141.2 billion KRW last year to 178.6 billion KRW this year. Production capacity increased following investment completion last year, and orders from large-scale customers also grew, driving rapid growth.

Meanwhile, as of the end of June this year, DN Automotive’s consolidated total borrowings and debt ratio stood at 1.9622 trillion KRW and 155%, respectively. Compared to the end of last year, these decreased by 443.9 billion KRW and 72 percentage points, respectively. As a result, interest expenses per quarter have continued to decline.