Operating profit at automobile thermal management company Hanon Systems grew by more than 180%.
Hanon Systems said on the 3rd that operating profit on a consolidation basis last year rose 184.5% from a year earlier to 271.8 billion won. Last year's revenue also increased 8.9% from a year earlier to 10.8837 trillion won.
A Hanon Systems official said the company's companywide restructuring and operational efficiency strategy after the acquisition and merger by Hankook & Company Group paid off.
In particular, Hanon Systems said it maintained an operating margin above 3% for two consecutive quarters last year—3.5% in the third quarter and 3.4% in the fourth—and the cost ratio, a metric of operational efficiency, remained below 90% for two straight quarters.
Expanding overseas customers also lifted revenue. Hanon Systems increased the supply of parts to European and U.S. automakers, including Mercedes-Benz, from a year earlier. It also broadened its portfolio by adding companies in Asia as clients.
Hanon Systems plans to continue efforts this year to improve the cost ratio and restore profitability.
Vice Chairman and CEO Lee Su-il of Hanon Systems said, "This year, we will accelerate qualitative growth through sound management, strengthening research and development capabilities, and pursuing new businesses for future growth based on our accumulated thermal management technology."