[Click eStock] "Neotis, Full-Scale Launch of New Electric Vehicle Parts Business... Expanding Performance Improvement"

The Korea IR Association introduced on the 13th that Neotis is challenging new businesses through the continuous development of ultra-precision technology.

Neotis is a company that manufactures motor shafts, a type of automotive part, and micro bits, cutting tools for machine tools. In 2021, it acquired Gwangjin Precision, adding a lens polishing machine business division. It generates major sales (46.5%) through the manufacturing and sales of motor shafts.

Lee Sang-ah, a researcher at the Korea IR Association, stated in the report that day, “The motor shaft, which generates the main sales of Neotis, is a market that is growing based on technological advancements,” and “With the increase in vehicle users, the demand for motor shafts is steadily rising, and the development of lightweight and durable materials has improved the performance of motor shafts, further activating the market.”

The researcher explained, “Recently, the sales proportion of hollow shafts, which are lighter in weight compared to conventional shafts, has noticeably increased,” and “Neotis is striving to secure competitiveness by producing hollow shafts (hollow worms) to respond to market demands.”

In particular, the analysis highlights Neotis’s new business in automotive electronic components. Last month, Neotis signed a supply contract for electronic components with KG Mobility. The supplied part is a sunroof controller equipped with anti-pinch technology that automatically stops operation if a finger gets caught.

He analyzed, “Neotis’s sunroof controller is installed in all new Actyon vehicles from KG Mobility, and this supply contract is the first result of the new business project in the electronic components division that the company has been promoting,” adding, “Since sales through the new business have been secured, the scope of performance improvement is expected to expand, and the company plans to actively promote the new business starting with this supply contract.”