Hyundai Capital Holds 'Global Forum' in Jeju Island... Sharing Achievements and Future Plans

18 Overseas Subsidiary CEOs Gather in Jeju-do

Hyundai Capital held an event where more than 40 key executives from 18 overseas subsidiaries gathered to discuss this year's achievements and next year's business plans.

On the 29th, Hyundai Capital announced that it held the '2023 Global Forum' on June 6th in Jeju Island. At the event, key executives from 18 overseas subsidiaries in 14 countries around the world gathered in one place to discuss the status of each subsidiary and future business plans. They also analyzed the global auto finance market situation and shared mid- to long-term directions for each subsidiary in line with Hyundai Motor Group's future strategies.

Sharing Performance of Subsidiaries in Each Country

Key executives of Hyundai Capital's overseas subsidiaries are taking a commemorative photo at the '2023 Global Forum' held in Jeju Island on the 6th. (Photo by Hyundai Capital)

On the first day, the auto finance markets of each country and the overall performance of Hyundai Capital's overseas subsidiaries were shared. Despite the challenging environment caused by economic recession due to high interest rates and inflation, Hyundai Capital's global total assets reached 138 trillion KRW, a 10.8% increase compared to the third quarter of last year. It is expected to exceed 140 trillion KRW by the end of the year.

In particular, the growth of subsidiaries in the European region stood out. ‘Hyundai Capital France,’ established last year, recorded a profit in its first year of operation and increased its pre-tax profit by 30 times compared to the same period last year. ‘Hyundai Capital Italy,’ established in 2021, doubled its vehicle acquisition rate compared to its establishment by increasing electric vehicle sales of Hyundai Motor Group and building a close network with dealers. ‘Hyundai Capital Bank Europe’ also increased its assets and pre-tax profits by more than 41% and 12%, respectively, compared to the same period last year through active joint campaigns with Hyundai Motor and Kia.

Pre-tax profits of subsidiaries in the North American region slightly decreased compared to the previous year due to increased funding costs caused by interest rate hikes. However, thanks to the strong sales of Hyundai Motor Group vehicles in the North American market and increased acquisition rates, ‘Hyundai Capital USA’ achieved a 16.8% increase in assets compared to the same period last year, and ‘Hyundai Capital Canada’ grew by 34%.

Discussing Future Growth Engines

Ross Williams, Vice President of Hyundai Capital, is explaining Hyundai Capital's mid- to long-term overseas business promotion direction at the '2023 Global Forum' held in Jeju Island on the 6th. (Photo by Hyundai Capital)

First, the headquarters introduced mobility projects to expand eco-friendly vehicle sales and infrastructure, including the launch of Korea's first electric vehicle charger financial product and the subsequent launch of an electric vehicle battery financial product. They also shared corporate vehicle financial products and a corporate fleet management system (FMS) that systematically manages vehicles for corporate customers. Through this system, Hyundai Capital increased the number of corporate customers from 60 in 2021 to over 900 as of the first half of 2023.

Expanding overseas business is also a key growth driver. Following the establishment of subsidiaries in Italy in 2021 and France in 2022, Hyundai Capital established a financial subsidiary in Indonesia last month. They plan to target the local market in collaboration with Sinar Mas Group, ranked 4th in Indonesia's business community, and Shinhan Bank Indonesia.

Ross Williams, Vice President in charge of Hyundai Capital's overseas business, stated, "Despite the difficult market conditions, we will actively expand our overseas territories through strong solidarity with Hyundai Motor Group. While actively expanding the market, we will also devote ourselves to qualitative growth that can provide optimal financial services to customers using Hyundai Motor and Kia vehicles."

This content was produced with the assistance of AI translation services.