SAI Reported August 2024 Monthly Revenue of NT$573mn with Month-Over-Month Growth Rate of 4.75%.
2024/09/09, Yunlin, Taiwan
Global automotive wheel industry leader SuperAlloy Industrial Co., Ltd. (SAI, 1563 TT) reported its August, 2024, monthly consolidated revenue of NT$573 million (+4.75% MoM and -1.61% YoY). The consolidated revenue for January to August 2024 is NT$4.95 billion, an increase of 1.68% from the same period last year’s NT$4.87 billion.
SAI stated that August fell within the traditional summer low season for the automotive industry, leading to a noticeable slowdown in overall shipment momentum. Additionally, the demand for customized wheels for certain European car models was weakened, contributing to the decrease in August revenue compared to the same period last year. However, the company benefited from stable order demand for customized wheels and recycled aluminum wheels from luxury car brands such as Toyota, Porsche and BMW. This contributed to a 4.75% increase in monthly revenue, reflecting SAI’s competitiveness in the high-end and environmentally friendly product sectors and further consolidating SAI’s key position in the luxury automotive market.
According to a report by the international research firm Allied Market Research, the global automotive aluminum wheel rim market was valued at US$18 billion in 2022 and is expected to grow at a compound annual growth rate of 7.7% from 2023 to reach US$37 billion by 2032. This growth is mainly driven by increasing demand for lightweight materials from brand manufacturers, stringent fuel efficiency regulations, and growing emphasis on sustainable practices. In particular, recycled aluminum wheels are becoming increasingly popular due to their environmental benefits, significantly reducing the need for primary aluminum and minimizing the carbon footprint associated with production. This presents a favorable business expansion opportunity for SAI in customized and recycled aluminum wheels.
Looking ahead to 4Q24, the arrival of the traditional automotive industry peak season, the launch of new models is expected to bring significant improvements to the company’s overall operations. In the field of recycled aluminum material RESAICAL®, SAI is actively advancing product development and application. During 2Q24, SAI received notification of adoption from the luxury car brand Rolls-Royce. SAI currently has a total of 7 brand clients adopting its recycled aluminum products. SAI continues to enhance research and development, increase production, lower raw material costs, and improve yield rates. These efforts contribute positively to gross margin and help position SAI as a key choice for brand manufacturers aiming to achieve carbon neutrality goals, further strengthening SAI’s market competitiveness.
