Third quarter sales of 396.9 billion won, operating profit of 22.3 billion won
Hyundai Motor Group Invests in Singapore Global Innovation Center


Hyundai Autoever announced on the 30th that it recorded consolidated sales of 396.9 billion won and operating profit of 22.3 billion won in the third quarter. Sales increased by 3% and operating profit increased by 8.2% compared to the same period last year.

Cumulative sales for the first to third quarters amounted to KRW 1.1167 trillion, up 1.5% from the same period in 2019, and operating profit also rose 9.2% to KRW 60.3 billion.

Looking at the performance by business division for this third quarter, sales of the IT outsourcing (ITO) business reached KRW 229.3 billion, a 10.4% increase from the same period in 2019. System integration (SI) business sales recorded KRW 167.6 billion, a 5.7% decrease compared to the same period in 2019.

Despite the postponement of global project schedules due to the prolonged COVID-19 situation, the company offset the decrease in sales from delayed SI projects of overseas corporations through various SI projects such as △establishment of an online sales platform for complete vehicles and △establishment of a parts integration system and standard manufacturing execution system (MES) for parts manufacturers, and led the overall sales growth through an increase in ITO operation sales including non-face-to-face IT services.

As the sales proportion of the relatively highly profitable ITO sector increased from 53.9% in the same period last year to 57.8% in the third quarter of this year, gross profit increased through improved sales mix, and the operating profit growth rate exceeded the sales growth rate due to reduced expenses caused by working from home and social distancing due to COVID-19.

Hyundai Autoever is focusing its capabilities on securing advanced software technologies to be applied to the ‘customer-centered innovation manufacturing platform,’ which is one axis of ‘Smart X.’ This platform has the ability to rapidly expand and deploy key cloud-based intelligent services such as smart MES, artificial intelligence (AI), and digital twins to multiple factories rather than just one, and to operate them with an efficient structure through data-based learning.

Meanwhile, Hyundai Autoever announced today that it will invest in the ‘Hyundai Motor Group Singapore Global Innovation Center (HMGICS)’ for human-centered future mobility value chain innovation.

HMGICS is an open innovation center that researches and demonstrates the entire value chain of a customer’s automobile life cycle, from ordering to production, test driving, delivery, and service. Hyundai Autoever is in charge of the information and communication technology (ICT) sector and software development, which are the core areas of HMGICS. In particular, we plan to introduce and utilize various ICT technologies acquired through research and verification processes across the entire value chain to new businesses at home and abroad.

Accordingly, in the course of researching HMGICS' innovative manufacturing platform, it is responsible for developing: △'smart devices (smart tags, vision, watcher bots, integrated APs, etc.)' required for data collection, △'intelligent ICT platforms (AI, big data, IoT, CPS, security, etc.)' that learn from the collected data and analyze the results to become the basis for decision-making, and △'intelligent services (digital twins, integrated control, facility diagnosis, logistics optimization, VR/AR)' that provide services tailored to the business.

Oh Il-seok, CEO of Hyundai Autoever, said, “Hyundai Autoever will support the Korean New Deal policy through digital transformation and, through its participation in HMGICS, will play a role in the group’s leap forward as a smart mobility solutions company.”