Preparing for the Future - 6 Core Investment Areas
Hyundai Capital America (US)
1
Assets: Maintained growth with recovering car sales
and increased penetration rate
Loans: Recording high penetration rate with stronger loan
focused co-marketing
Lease: Maintained asset size YoY by tightening control on volume
and pricing to support used vehicle values
2 Risk management: Mitigated COVID-19 related
quality deterioration as much as possible
-
30+% Solid on prime-focused portfolio and customer relief efforts
Quality: Stable from tightening UW policy on low-credit customers
3 Profits: Plan to offset increased bad debt expense
with portfolio growth and Lease RV stabilization
-
-
Revenue: Interest income grew 9% YoY from Retail growth
Lease RV: Improved used vehicle pricing and recovering sales volume
Bad debt expense: Preemptively increase reserves for negative
macro forecasts
4 Capital structure & liquidity
Funding: Successfully issued largest ever amount of bonds
(total 3.8BN USD in Feb/April) and issued ABS at lowest rate ever (0.59%)
Liquidity: Strong liquidity position with increased cash emphasis,
despite market volatility in early 2Q
123 Applied end-of-term KRW/USD exchange rate of Seoul Money Brokerage Services
40
Asset Portfolio (KRW tn )
Pen, rate
55.6%
62,6%
53.6%
46.1%
Wholesale
2.8
2.6
2.2
-2.5
17.2
17.2
Lease
17.2
17.0
14.4
14.7
18.6
21.7
Loan
'17
'18
'19
H1 20
Asset Quality
2.6%
2.5%
2.3%
1.7%
30+% DQ
Prime mix
78%
78%
80%
80%
in assets
'17
'18
'19
H1 20
Profits (KRW bn Ⓡ)
1.2%
1,1%
1.4%
1.0%
Bad debt
expense ratio
283
116
155
124
IBT
'17
'18
'19
H1 20
Liquidity (KRW tn ³)
7.6X
7.4X
6.8X
6.6X
Debt
leverage
1.5
05
05
Cash
1,7
8.8
6.8
7.1
4.1
Credit line
'17
'18
'19
H1 20
HYUNDAIView entire presentation