Taiwan-based automotive power and safety parts manufacturer Global PMX disclosed its plans for EVs, hybrid vehicles, and fuel-cell EVs at a recent shareholders' meeting. The company also said it has seen the rebound of order pull-ins from major electronics customers as demand for AI takes off.
Leading automotive OEMs contribute to over 60% of Global PMX's revenue. The company says that these customers and tier-1 suppliers increased their order pull-ins quarter by quarter, benefiting from the financial performance of its automotive business. The unit reported NT$7.122 billion (US$220.2 million) in revenue last year, only down by 5.69% year over year. Its net profit was NT$516 million.
According to the China Passenger Car Association's latest market analysis, consumers have started to purchase new energy vehicles (NEV) again driven by the government trade-in policy, the Beijing Auto Show, stabilization of supply expectations, and major product releases.
China's NEV retail sales reached 804,000 units in May 2024, a 38.5% growth from 2023. The sales volumes of emerging automakers like Li Auto and Aito have significantly increased compared to last year. This market development is expected to enhance Global PMX's operations and drive business growth.
Global PMX said it strengthened ties with major automakers and tier-1 suppliers in the past two years to focus on critical parts for EVs, hybrids, and fuel-cell EVs. The company has also developed key components for air suspension and the one-box brake system for battery EVs.
In 2024, Global PMX will likely see further revenue growth from NEVs as their penetration rate continues to rise in China. Its automotive product shipments will grow gradually in 2024. Moreover, Global PMX is working with new medical customers to receive certification for surgical tools used in minimally invasive surgeries and aims to begin trial production in the second half of this year.
In the company's electronics sector, Global PMX has observed increased order pull-ins from key customers, spurred by growing demand for storage devices driven by big data analysis. Concurrently, the company has noted rising deliveries in its sports segment. These factors are anticipated to contribute to improved financial performance for Global PMX in the second half of 2024, introducing new growth drivers for its operations.
