2 February 2017 Asia Pacific/South Korea Equity Research Leasing & Logistics
Hyundai Glovis (086280.KS / 086280 KS) Rating NEUTRAL Price (31-Jan-17, W) 155,500 INITIATION Target price (W) 140,000 Upside/downside (%) -10.0
Mkt cap (W/US$ bn) 5,831 / 5.02 Stagnant growth with rising uncertainty Enterprise value (W bn) 6,234 Number of shares (mn) 37.50 ■ Initiating with NEUTRAL. We initiate coverage on Hyundai Glovis (Glovis) Free float (%) 48.6 with a NEUTRAL rating and W140,000 target price. Glovis is a logistics 52-wk price range (W) 207,500-149,000 company which generates over 70% of sales from Hyundai Motor Group ADTO-6M (US$ mn) 14.0 (HMG). ES Chung, the Vice-Chairman and the heir apparent of the group Target price is for 12 months.
Research Analysts chairman MK Chung, owns 23.3% of Glovis. As the growing value of Glovis benefits ES Chung the most, the stock has long been considered as the Michael Sohn 82 2 3707 3739 beneficiary of HMG's future holding structure changes. Yet, we have a non- [email protected] consensus view on the stock for the following reasons. ■ Captive HMG is no longer a growth driver. In 2006-2016, Glovis' sales showed 99.8% correlation with its operating profit and 97.3% correlation with HMG's (Hyundai Motor + Kia Motors) sales volume. Considering 2016-2019E HMG volume growth CAGR of 3.1% (vs 2006-2016 CAGR of 7.6%), we forecast Glovis' sales CAGR of 3.6% (vs 23.3% in 2006-2016) and OP CAGR of 4.4% (29.3% in 2006-2016). ■ Valuation de-rating with the ownership and regulation uncertainty. To meet the regulation, the Chung family made a block trade on Glovis in 1Q15 to lower the ownership to 29.99% from 43.39%. Not only was the stock limited down (-15%) on the next day, its valuation premium has also gradually disappeared since then. In addition, proposed bills by the opposition party, if passed, would force the Chung family to lower the ownership of Glovis further to below 20% and disconnect HMG's circular holdings, while their lock up period on Glovis expires in February-2017. Glovis' ownership premium has become an ownership uncertainty triggered by tightening regulations on conglomerates. ■ Valuation and risks. We derive our target price of W140,000 by applying target PER of 9.6x, which is based on an average PER of HMG stocks and Glovis' historical average PER, to 2017E EPS. Risk to our call is faster-than- expected growth in third-party sales which can bring incremental growth.
Share price performance Financial and valuation metrics
Year 12/15A 12/16E 12/17E 12/18E Revenue (W bn) 14,671.2 15,340.6 15,869.5 16,566.6 EBITDA (W bn) 827.0 897.0 971.9 1,023.2 EBIT (W bn) 698.0 728.8 783.6 815.8 Net profit (W bn) 377.0 505.6 552.7 575.9 EPS (CS adj.) (W) 10,052 13,483 14,739 15,357 Change from previous EPS (%) n.a. - - - Consensus EPS (W) n.a. 15,384 16,150 17,346 EPS growth (%) (29.7) 34.1 9.3 4.2 The price relative chart measures performance against the P/E (x) 15.5 11.5 10.6 10.1 KOREA SE KOSPI IDX which closed at 2,067.57 on Dividend yield (%) 1.9 2.3 2.6 2.9 31/01/17. On 31/01/17 the spot exchange rate was EV/EBITDA (x) 8.0 7.0 6.1 5.4 W1,161.1/US$1 P/B (x) 1.88 1.67 1.49 1.34
Performance 1M 3M 12M ROE (%) 12.8 15.4 14.9 14.0 Absolute (%) 0.6 -9.6 -23.8 Net debt/equity (%) 24.5 12.3 2.5 Net Cash
Relative (%) -1.4 -14.1 -31.2 Source: Company data, Thomson Reuters, Credit Suisse estimates
DISCLOSURE APPENDIX AT THE BACK OF THIS REPORT CONTAINS IMPORTANT DISCLOSURES, ANALYST CERTIFICATIONS, LEGAL ENTITY DISCLOSURE AND THE STATUS OF NON-US ANALYSTS. US Disclosure: Credit Suisse does and seeks to do business with companies covered in its research reports. As a result, investors should be aware that the Firm may have a conflict of interest that could affect the objectivity of this report. Investors should consider this report as only a single factor in making their investment decision.
2 February 2017
Focus charts
Figure 1: As over 70% of Glovis sales come from Figure 2: …Glovis sales and HMG sales units (HMC Hyundai Motor Group… + Kia) have shown 97% correlation
(%) (Won tn) (Mn units) 90 20 CS forecast 11
Correlation = 97.3% 80 15 9
70 10 2016-19E 7 HMG sales Glovis' sales portion target 5 volume 5 60 : 50% in 2020E 2006-16 HMG volume growth CAGR: 3.1% CAGR: 7.6% 0 3 50 2006 2008 2010 2012 2014 2016 2018E 2012 2013 2014 2015 3Q16YTD Glovis sales (LHS) HMC + Kia sales volume (RHS) HMG sales portion
Source: Company data, Credit Suisse Source: Company data, Credit Suisse estimates
Figure 3: With limited margin volatility over the Figure 4: …sales growth is the key to drive earnings years… growth which we expect to be stagnant
(%) CS forecast (Won tn) (Won tn) 10 20 CS forecast 1.0 Correlation = 99.8% 9 16 0.8 +1 std 8 12 0.6
7 -1 std 8 2016-2019E 0.4 Stable GPM between 7.3% to 8.2% sales 6 4 2006-2016 sales growth CAGR: 3.6% 0.2 CAGR: 23.3% 5 0 0.0 2006 2008 2010 2012 2014 2016 2018E 2006 2008 2010 2012 2014 2016 2018E GPM Glovis sales (LHS) Glovis operating profit (RHS)
Source: Company data, Credit Suisse estimates Source: Company data, Credit Suisse estimates
Figure 5: Ownership premium relative to HMG's Figure 6: Expecting valuation not to be re-rated average P/E multiple has quickly been de-rated post again as the ownership premium has become the Chung family's block trade in 1Q15 ownership uncertainty from 1Q15
(%) Losing premium post Chung family's (X) Losing premium post 300 selling stakes in 1Q15 5.0 Chung family's selling stakes in 1Q15
200 4.0
3.0 100
2.0 0 Kia's P/E multiple was soared 1.0 -100 due to near BEP earnings 2010 2011 2012 2013 2014 2015 2016 2017 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 Glovis P/B trend (RHS) * HMG PER is weighted average of HMC, Kia, Mobis, Hyundai Steel, and Hyundai E&C Source: Company data, Credit Suisse estimates Source: Company data, Credit Suisse estimates
Hyundai Glovis (086280.KS / 086280 KS) 2 2 February 2017
Stagnant growth with rising uncertainty Initiating with an We initiate coverage on Hyundai Glovis (Glovis) with a NEUTRAL rating and a W140,000 UNDERPERFORM and target price. With an inseparable business structure with Hyundai Motor Group (HMG), we target price of expect 3.6% YoY sales growth CAGR in 2016-2019E and see 4.4% OP CAGR for the stock W140,000 in 2016-2019E. In addition, the long lasted ownership premium on the stock has become an ownership uncertainty post Chung family's block trade in 1Q15, while tightening regulations under 'Economic Democratisation' will continue to be an overhang, which will depress the valuation, in our view. Under any HMG group restructuring scenarios, we expect the Chung family's Glovis shares to be eventually traded with new Holdco shares. Captive HMG is no longer a growth driver HMG affiliates' 70% of Glovis' sales come from its captive Hyundai Motor Group (HMG) and 87% of sales are stagnant growth generated from logistics and CKD (complete knock down parts, (link)) which have inseparable CAGR limits Glovis' business relationships with HMG. As HMG's major entities (Hyundai Motor, Kia Motors, growth Hyundai Mobis and Hyundai Steel) are expected to grow at 2.2% sales growth CAGR in 2016-2019E (vs 2006-2016 CAGR of 12.8%), we forecast Glovis to post 2016-2019E sales CAGR of 3.6% (vs 23.3% in 2006-2016) and OP CAGR of 4.4% (vs 29.3% in 2006-2016). Valuation de-rating with ownership and regulation uncertainty Valuation de-rated Since the IPO in December 2005, Glovis was known as the key beneficiary of HMG's future post Chung family's holding structure changes as growing value of the company benefits ES Chung and MK block trade in 1Q15 Chung who own 29.99% of the company. The company posted solid growth supported by which we expect to HMG, and Chung family's major ownership was the main reason for the stock to receive 68% continue P/E premium on an average in 2006-1Q15 over HMG's entities. Yet, after the Chung family made a block trade attempt on Glovis in January-2015 and made a block trade in February- 2015 to meet the tightened regulation on intra-group revenue transaction, the stock limited down in the next day (vs Mobis up 12%) and its valuation premium has gradually disappeared since then (Hyundai’s Chungs revive Glovis' stake sale to avoid probe). In addition, the proposed bill by the opposition party would force the Chung family to lower the ownership further to below 20%, if passed, while their lock up period on Glovis expires in February 2017. As such, we believe the Chung family ownership premium on Glovis should be considered as the ownership uncertainty with regulation uncertainty will continue to depress the valuation and stock performance. Prefer Mobis over Glovis on group restructuring angle We recommend investors to be cautious on Glovis and stay positive on Mobis for the following reasons. Stagnant growth with (1) In any HMG holding structure scenario, we expect the Chung family to eventually sell ownership uncertainty the stakes on Glovis to get the shares of a newly created holding company. Not only do to depress Glovis' we expect Glovis' valuation to be depressed with limited earnings growth, but it could also performance fall further if the Chung family lowers Glovis' stakes for the purpose of HMG holding structure changes or to meet the proposed intra-group transaction regulation. Fundamentally, unless the company quickly increases third-party logistics, we expect its growth to continue to be stagnant. Valuation discount of (2) Mobis is the first shareholder of HMC which has triggered the market to expect ES Chung Mobis to disappear to eventually acquire Mobis to control the group. As the faster growing value of Glovis over once HMG's holding Mobis could provide ES Chung with an opportunity to potentially acquire the larger stakes on structure begins to Mobis, the stock underperformed Glovis by 110% from Glovis' IPO until the Chung family change attempted a block trade in January 2015 with a significant valuation discount. Although Mobis has begun to outperform Glovis post the block trade, it still trades at a 41% discount to peers. We expect the valuation gap to quickly narrow down once HMG's holding structure change begins. With a solid fundamental outlook, we continue to recommend Mobis as our sector top- pick with Mando (Firmer ADAS growth outlook lifts valuation multiple).
Hyundai Glovis (086280.KS / 086280 KS) 3 2 February 2017
Hyundai Glovis (086280.KS / 086280 KS) Price (31 Jan 2017): W155,500; Rating: NEUTRAL; Target Price: W140,000; Analyst: Michael Sohn Income Statement (W bn) 12/15A 12/16E 12/17E 12/18E Company Background Sales revenue 14,671 15,341 15,870 16,567 Hyundai Glovis specializes in providing domestic and international Cost of goods sold 13,555 14,235 14,669 15,330 logistic services. The company's business spans from EBITDA 827 897 972 1,023 vehicle/parts/bulk logistics, general cargo services, and logistics EBIT 698 729 784 816 consulting to used automobile auction market services. Net interest expense/(inc.) 32 22 11 (1) Recurring PBT 593 704 757 789 Blue/Grey Sky Scenario Profit after tax 377 506 553 576 Reported net profit 377 506 553 576 Net profit (Credit Suisse) 377 506 553 576 Balance Sheet (W bn) 12/15A 12/16E 12/17E 12/18E Cash & cash equivalents 676 937 1,207 1,509 Current receivables 1,672 1,672 1,650 1,640 Inventories 772 714 770 815 Other current assets 597 818 1,032 1,276 Current assets 3,718 4,141 4,659 5,240 Property, plant & equip. 2,539 2,782 3,007 3,217 Investments 694 891 1,090 1,293 Intangibles 72 102 129 152 Other non-current assets 455 523 599 702 Total assets 7,479 8,439 9,484 10,604 Current liabilities 2,594 3,256 3,891 4,586 Total liabilities 4,382 4,949 5,573 6,267 Shareholders' equity 3,097 3,490 3,911 4,337 Minority interests 0 0 0 0 Total liabilities & equity 7,479 8,439 9,484 10,604 Cash Flow (W bn) 12/15A 12/16E 12/17E 12/18E EBIT 698 729 784 816 Net interest 0 0 0 0 Tax paid 0 0 0 0 Working capital 73 (12) 0 (78) Other cash & non-cash items 12 (48) 43 68 Our Blue Sky Scenario (W) 238,000 Operating cash flow 783 669 826 806 if non-HMG sales grow faster-than-expected, supported by M&A, Capex (396) (396) (396) (396) sales and OP could grow higher than our estimates. If Chung family Free cash flow to the firm 387 273 431 410 promises keep Glovis stake, we see potential multiple upside. Investing cash flow (848) (493) (425) (482) Equity raised 0 0 0 0 Our Grey Sky Scenario (W) 113,000 Dividends paid (75) (113) (131) (150) If new regulation requires Chung family to lower Glovis stakes to Financing cash flow (4) 103 (131) (23) avoid intra-group revenue valuation multiple could be lowered again. Total cash flow (68) 280 270 302 In addition, if HMC/Kia sales volume growth is weaker-than- Adjustments (9) (19) 0 0 expected, Glovis’ sales growth will also weaken. Net change in cash (78) 261 270 302 Per share 12/15A 12/16E 12/17E 12/18E Share price performance Shares (wtd avg.) (mn) 38 38 38 38 EPS (Credit Suisse) (W) 10,052 13,483 14,739 15,357 DPS (W) 3,000 3,500 4,000 4,500 Operating CFPS (W) 20,882 17,846 22,037 21,493 Earnings 12/15A 12/16E 12/17E 12/18E Growth (%) Sales revenue 5.4 4.6 3.4 4.4 EBIT 8.3 4.4 7.5 4.1 EPS (29.7) 34.1 9.3 4.2 Margins (%) EBITDA 5.6 5.8 6.1 6.2 EBIT 4.8 4.8 4.9 4.9 Valuation (x) 12/15A 12/16E 12/17E 12/18E P/E 15.5 11.5 10.6 10.1 P/B 1.88 1.67 1.49 1.34 The price relative chart measures performance against the KOREA SE KOSPI Dividend yield (%) 1.9 2.3 2.6 2.9 IDX which closed at 2,067.57 on 31-Jan-2017 EV/sales 0.4 0.4 0.4 0.3 On 31-Jan-2017 the spot exchange rate was W1,161.1/US$1 EV/EBITDA 8.0 7.0 6.1 5.4 EV/EBIT 9.4 8.6 7.6 6.8 ROE analysis (%) 12/15A 12/16E 12/17E 12/18E ROE 12.8 15.4 14.9 14.0 ROIC 11.9 13.5 14.4 14.8 Credit ratios 12/15A 12/16E 12/17E 12/18E Net debt/equity (%) 24.5 12.3 2.5 (6.4) Net debt/EBITDA (x) 0.92 0.48 0.10 (0.27)
Source: Company data, Thomson Reuters, Credit Suisse estimates
Hyundai Glovis (086280.KS / 086280 KS) 4 2 February 2017
Captive HMG is no longer a growth driver 70% of sales come Inseparable business structure with Hyundai Motor Group. Glovis' business units from HMG and 87% of comprise: (1) domestic logistics, (2) international logistics which include PCC (pure car sales come from carrier), (3) CKD (complete knock down parts), (4) used car auction and (5) other logistics and CKD distribution. In 3Q16, logistics and CKD contributed 87% of sales and 70% of sales were generated from the captive Hyundai Motor Group. Sales growth is the key Limited margin volatility suggests sales growth is the key earnings driver. Glovis to drive earnings generates earnings based on costs plus mark-ups which has resulted in limited gross growth, yet we forecast profit margin volatility. As such, it is crucial for Glovis to increase sales revenue to drive 2016-2019E sales earnings growth, yet we only forecast 2016-2019E sales growth CAGR of 3.6% (vs 2006- growth CAGR of 3.6% 2016 sales growth CAGR of 23.3%) for the following reasons.
Figure 7: 87% of sales came from logistics and CKD Figure 8: …and 70% of total sales came from HMG in 2016
(%) 90 Merchandising 80 International logistics 70 Domestic 40% Glovis' sales portion target logistics 60 7% : 50% in 2020E CKD 40% 50 2012 2013 2014 2015 3Q16YTD HMG sales portion
Source: Company data, Credit Suisse Source: Company data, Credit Suisse estimates
Figure 9: …which shows 97% correlations with Figure 10: Glovis' quarterly sales and HMG sales Glovis sales and HMG sales volume volume have 93.3% correlation from the IPO
(Won tn) (Mn units) (Won tn) (Mn units) 20 CS forecast 11 6.0 2.7 Correlation = 93.3%
15 Correlation = 97.3% 9 4.5 2.2
10 2016-19E 7 3.0 1.7 HMG sales 5 volume 5 1.5 1.2 2006-16 HMG volume growth CAGR: 3.1% CAGR: 7.6% 0 3 0.0 0.7 2006 2008 2010 2012 2014 2016 2018E 1Q06 3Q07 1Q09 3Q10 1Q12 3Q13 1Q15 3Q16 Glovis sales (LHS) HMC + Kia sales volume (RHS) Glovis sales (LHS) HMC + Kia sales volume (RHS)
Source: Company data, Credit Suisse Source: Company data, Credit Suisse estimates
Hyundai Glovis (086280.KS / 086280 KS) 5 2 February 2017
Figure 11: As Glovis' margin volatility is limited… Figure 12: …which indicates sales revenue growth is key for earnings growth
(%) CS forecast (Won tn) (Won tn) 10 20 CS forecast 1.0 Correlation = 99.8% 9 16 0.8 +1 std 8 12 0.6
7 -1 std 8 2016-2019E 0.4 Stable GPM between 7.3% to 8.2% sales 6 4 2006-2016 sales growth CAGR: 3.6% 0.2 CAGR: 23.3% 5 0 0.0 2006 2008 2010 2012 2014 2016 2018E 2006 2008 2010 2012 2014 2016 2018E GPM Glovis sales (LHS) Glovis operating profit (RHS)
Source: Company data, Credit Suisse Source: Company data, Credit Suisse estimates
Limited HMG Korea Expecting 2016-2019E domestic logistics sales growth CAGR of 0.9%. According to plants sales growth will the annual report, Glovis defines domestic logistics as follows. lead 2016-2019E domestic logistics "Domestic logistics is a transportation service to move vehicles from auto plants to sales growth CAGR: regional warehouses or to export ports, and delivery service to deliver new vehicles to 0.9% customers by using large transportation equipment. The company also participates in finished vehicle handling at the port such as port entry and loading on to the vessels so that it is capable of providing a stable service for customers in the process of finished car- logistics. Similar to international logistics, Hyundai Glovis transports auto parts to auto plants." As about 70% of domestic logistics sales come from Hyundai Motor Group mainly to deliver HMC and Kia vehicles in Korea, its annual sales and HMG's annual domestic plants sales units have shown 92% correlation from 2005 which will likely continue in the future. Considering our expectations for HMC and Kia combined domestic plants' unit growth CAGR of 0.9% in 2016-2019E, Glovis' domestic logistic sales are estimated to grow at a mere 0.9% CAGR for the same period of time.
Figure 13: Glovis' quarterly domestic logistics sales Figure 14: ...we forecast Glovis domestic sales have shown over 81% correlation with HMG's Korea growth CAGR of 0.9% with the limited Korea plants plants sales units since 1Q06… sales growth of HMG
(Won bn) ('mn units) (Won tn) ('mn units) 1.4 CS forecast 3.7 400 1.2 Correlation = 92% Correlation = 81% 340 1.0 1.2 3.4
280 0.9 1.0 3.1 2016-2019E 0.8 2.8 220 0.7 2006-2016 CAGR of domestic logistics saes 0.9% 160 0.6 0.6 growth CAGR of 6% 2.5 100 0.4 0.4 2.2 1Q06 3Q07 1Q09 3Q10 1Q12 3Q13 1Q15 3Q16 2006 2008 2010 2012 2014 2016 2018E Domestic Logistics sales (LHS) Domestic Logistics sales (LHS) HMC + Kia's Korea plants sales units (RHS) HMC + Kia's Korea plants sales units (RHS)
Source: Company data, Credit Suisse Source: Company data, Credit Suisse estimates
International logistics International logistics sales growth is estimated to grow 3.7% CAGR in 2016-2019E. sales growth CAGR: International logistics comprises of PCC (pure car carrier), bulk and other sales. As of 3.7% 2016, PCC accounted for 21% of international logistics, and about 60% of PCC sales came from HMG. Bulk businesses, which carry raw materials such as coal, iron, logs, grain, and oil, accounted for 19% of international logistics sales and around 25% of sales came from HMG. Other sales include auto parts, production facilities shipments and inland transportation of overseas subsidiaries which accounted for 61% of international logistics sales. In other sales, overseas sales subsidiaries accounted for 88% in 2016. Looking for 2017E, we estimate over 70% of Glovis' international logistics sales to come from HMG.
Hyundai Glovis (086280.KS / 086280 KS) 6 2 February 2017
2016-2019E pure car (1) PCC sales are expected to grow at 8.1% CAGR in 2016-2019E. Glovis initially began carrier sales growth the PCC business from 2006 with 10% penetration rate in HMG. The remaining 90% was CAGR: 8.1% handled by Eukor Car Carriers (Eukor) which was created by Wilhemsen, Wallenius Lines AB of Sweden, and HMG (HMC and Kia) in 2002 with 40%, 40%, 20% ownership, respectively. Until mid-2014, Glovis guided that the company would increase PCC penetration to 100% by 2016 yet it was later guided down to 50% which caused quick correction on 2017E sales and OP consensus. Given HMG's 2016-2019E export sales unit growth CAGR of 2.0%, while the penetration is expected to rise by 10 pp to 60%, we forecast PCC sales growth CAGR of 8.1% (vs 2006-2016 CAGR of 32%). In addition, as HMC and Kia own 20% of Eukor stakes, while Glovis is a part of HMG, there could be conflicts of interest for deciding PCC penetration rates and could sacrifice PCC profitability to gain shares, in our view.
Figure 15: Despite limited HMG export unit growth Figure 16: With gaining PCC (pure car carrier) outlook… market shares in HMG…
(Mn units) 2006-16 CAGR: 0.6% 2016-19E (%) CS forecast CAGR: 2.0% 2.5 70
2.0 60 1.5 50 1.0 CSforecast 40 2018-2019E 0.5 30 penetration rate: 0.0 60% 2006 2008 2010 2012 2014 2016 2018E 20 2010 2011 2012 2013 2014 2015 2016 2017E2018E2019E Kia export sales units HMC export sales units PCC market share in HMG
Source: Company data, Credit Suisse Source: Company data, Credit Suisse estimates
Figure 17: PCC sales posted strong growth in 2006- Figure 18: Glovis' quarterly PCC sales and HMG 2016 and expect 8.1% CAGR in 2016-2019E export sales units have 90% correlations
(Won bn) ('mn units) (Won bn) ('000 units) 2,000 CS forecast 1.5 500 400 Correlation = 95% Correlation = 90% 1,600 1.2 400 300 1,200 0.9 300 2016-2019E 200 200 800 PCC sales 0.6 2006-2016 PCC CAGR of 8.1% 100 100 400 saes growth 0.3 CAGR of 32% 0 0 0 0.0 2Q08 2Q09 2Q10 2Q11 2Q12 2Q13 2Q14 2Q15 2Q16 2008 2010 2012 2014 2016 2018E Pure car carrier (PCC) sales (LHS) Pure car carrier (PCC) sales (LHS) HMG export units carried by Glovis (RHS) HMG export units carried by Glovis (RHS)
Source: Company data, Credit Suisse Source: Company data, Credit Suisse estimates
Figure 19: Glovis lowered 2016 and after PCC Figure 20: …which caused 2017E sales and OP penetration guidance… consensus correction in 4Q14-1Q15
(%) (Won tn) (Won bn) 120 Glovis' previous 20 1,050 guidance = 100% 100 19 1,000
80 18 950
60 17 900
40 16 850
20 15 800 2010 2011 2012 2013 2014 2015 2016 2017E2018E2019E Jul-14 Jan-15 Jul-15 Jan-16 Jul-16 PCC market share in HMG 2017E Sales (LHS) 2017E OP (RHS)
Source: Company data, Credit Suisse Source: Company data, Credit Suisse estimates
Hyundai Glovis (086280.KS / 086280 KS) 7 2 February 2017
(2) Expecting 2016-2019E other sales growth CAGR of 3.4%. Over 85% of other sales in international logistics came from overseas subsidiaries which generated 84% of sales from HMG. As such, unless HMG's sales strongly grow or Glovis quickly increases third-party sales portion, we see limited growth outlook other sales.
Figure 21: More than 85% of other sales in Figure 22: Expecting other sales growth CAGR of international logistics come from overseas 5% in 2016-2019E (vs 25% in 2008-2015) subsidiaries…
(%) (Won tn) 100 5
95 4 90 3 2016-19E sales 85 CAGR 3.4% 2 80 1 75 70 0 2013 2014 2015 2016E 2017E 2018E 2019E 2008 2010 2012 2014 2016 2018E From overseas subsidiaries From 3PL business Other sales in International logistics
Note: IFRS based data is from 2013 Source: Company data, Credit Suisse Source: Company data, Credit Suisse estimates
Expansion slowdown CKD sales are expected to grow at 3.9% CAGR in 2016-2019E. The CKD (complete of HMG's overseas knock down parts) business transports auto parts supplied from vendors to overseas plants limits growth manufacturing plants for overseas production of HMC and Kia's finished vehicles. From outlook of CKD sales ordering to packaging, transporting and also local inland transportation, Glovis provides total service of the CKD business contributing to the production efficiency of overseas manufacturing plants. Except China and India plants, where Mobis supplies, Glovis supplies CKD to every HMG plant such as US, Czech, Russia, Brazil, Slovakia and Mexico which accounted for 42% of HMG's overseas plants sales. As of 2016, CKD sales accounted for 39% of Glovis sales and posted 2006-2016 sales growth CAGR of 25%. Strong growth was mainly attributable to HMG's continuous overseas plants expansion which posted 23% (excluding China and India plants) growth CAGR. As Glovis exclusively supplies to HMG's overseas plants, its CKD sales and these HMG overseas plants' sales units have shown 99.5% correlation. Looking for 2016-2019E, as only Kia's newly built Mexico plant will add capacity, double digit CKD sales will not repeat unless Glovis expands CKD sales to China and India plants where Mobis currently supplies. With Kia's newly built Mexico plant, CKD sales are expected to grow at 3.9% CAGR.
Figure 23: HMG's overseas plants sales posted 23% Figure 24: With 99% correlation with HMG overseas CAGR growth in 2006-2016 which we forecast to plants sales units, we forecast Glovis CKD sales slow down to 4.8% CAGR in 2016-2019E growth to slow down to 4.5% CAGR in 2016-2019E
(Mn units) CS forecast (Won tn) ('mn units) 6 8 CS forecast 2.5 2006-2016 sales growth Correlation = 99.5% 5 CAGR: 18.2% 6 2.0 4 2016-19E 5 CKD saes 1.5 2016-2019E 2006-2016 CKD 3 growth sales growth 3 saes growth 1.0 CAGR: 4.6% CAGR of 2 CAGR of 23% 2 3.9% 0.5 1 0 0.0 0 2006 2008 2010 2012 2014 2016 2018E 2006 2008 2010 2012 2014 2016 2018E CKD sales (LHS) HMG overseas plant sales HMG plants sales that receive Glvos CKD (RHS)
Source: Company data, Credit Suisse Source: Company data, Credit Suisse estimates
Hyundai Glovis (086280.KS / 086280 KS) 8 2 February 2017
Valuation de-rating with ownership and regulation uncertainty Chung family's The dominant Chung family ownership was the key investment thesis. Since its IPO dominant ownership in December 2005, Glovis has received valuation premium over HMG affiliates. In 2006- was once the main 2015, Glovis used to receive 65.1% P/E premium on average over HMG affiliates. Its investment thesis premium was not only attributable to the strong growth performance of the company, but was also attributable to Chung family's dominant ownership on the company. The stock was listed with 31.88% stake by ES Chung, and 28.12% by MK Chung, the group chairman, with total ownership of 60% and was able to grow with HMG's strong support.
Figure 25: Despite similar earnings growth over Figure 26: Chung family's dominant ownership on HMC affiliates Glovis provided valuation premium over affiliates
(%) (X) (X) 80 12 40 60 10 30 40 20 8 20 0 6 10 -20 -40 4 0 2009 2010 2011 2012 2013 2014 2015 2016 2017 -60 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 HMG's weighted average P/E trend (LHS) HMG EPS growth Glovis EPS growth Glovis P/E trend (RHS)
HMG affiliates include HMC, Kia, Mobis, and Hyundai Steel Source: Company data, Credit Source: Company data, Credit Suisse estimates Suisse estimates Source: Company data, Credit Suisse
The block trade in Yet, the Chung family's block trade in 1Q15 has triggered valuation de-rating. On 12 January 2015 has January 2015, the Chung family attempted a block trade to lower its combined ownership caused multiple de- to below 29.99% from 43.39% after market close. The purpose of the block trade was to rating on Glovis avoid the intra-group transaction rule, which could meet the regulation if the ownership of the major shareholders was below 30%. Unfortunately, the block trade was not successfully executed which caused the stock to limit down (-15%) on the following day. In contrast, Mobis' share price was up 12% on the same day with the market's high speculation that ES Chung would buy Mobis for the group restructuring process. Later, in February 2015, the Chung family successfully executed the block trade and lowered the ownership to 29.99% with two years of safe deposit of their stakes.
Figure 27: Glovis' P/E valuation premium over peers Figure 28: …and P/B premium which all began to and HMG affiliates continued until 2014 disappear post a block trade in 1Q15
(%) Losing premium post (%) Losing premium post Chung family's Chung family's selling stakes in 1Q15 300 selling stakes in 1Q15 400
200 300
100 200
0 100 Kia's P/E multiple was soared due to near BEP earnings Kia's P/B multiple was soared due to near BEP earnings -100 0 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 Glovis' ownership premium relative to HMG average PER Glovis' ownership premium relative to HMG average PBR
Source: Company data, Credit Suisse Source: Company data, Credit Suisse estimates
Hyundai Glovis (086280.KS / 086280 KS) 9 2 February 2017
Figure 29: Glovis share price fell after the Chung Figure 30: Mobis has begun to outperform Glovis family tried a block trade to lower the ownership post the Chung family's selling of Glovis
('000 W) Losing premium post (%) 350 Chung family's selling stakes in 1Q15 300 Mobis underperformed 300 200 Mobis outperformed 250 200 100 150 0 100 -100 50 ES Chung sold 0 -200 8.6% of share in Jan 2015 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2011 2012 2013 2014 2015 2016 Glovis absolute share price Rel. performance (Mobis vs Glovis)
Source: Company data, Credit Suisse Source: Company data, Credit Suisse estimates
Proposed bills on Regulation uncertainty forces the ownership uncertainty. Currently, intra-group tightening intra- transaction is applicable to greater than 30% ownership (20% unlisted) by affiliates which group transactions caused the block trade in 1Q15. The proposed bill now forces the Chung family's Glovis and unwinding cross ownership further to below 20.00% which increases ownership uncertainty. Separately, the shareholdings create current regulation prohibits creating any new cross shareholdings, and yet permits the ownership existing cross shareholdings. The proposed bill forces to unwind existing cross uncertainty shareholding which will raise another ownership uncertainty on the ownership of Glovis. In conclusion, regulation uncertainty will continue to be the main reason for the stock not to regain its valuation premium.
Figure 31: Korea - Regulation change proposed Proposed Act Article No. Topic Proposed bill Congressman Party date Fair Trading Act Article 23.2 Intra-group - Intra-group transactions by chaebols refrain SMEs from opportunity for fair Dong Cheol, Kim (10) People's 7-Jun-2016 transactions competition. - Current regulation on intra-group transaction is applicable to greater than 30% ownership (20% of unlisted) by affiliates. The family reduced stake in Hyundai Glovis to 29.99%. Samsung SNS and Amco were merged with Samsung SDS and Hyundai Engineering. - The amount of intra-group transaction is still W155 tn by the top 10 chaebols. - The ownership will be reduced to 10% from currently 30% and the stake will be inclusive of identity, person and/or the person's relative Cross - Companies subject to the legal restrictions on cross holdings (i.e. Fair Trading Act Article 9.3 Un Yeol Choi (24) Democrats 2-Sep-2016 ownership chaebols) are currently not permitted to create new cross shareholding. - The proposed bill also forces to unwind existing cross shareholding. - According to the bill, there are currently 94 cross shareholdings by eight chaebol groups. Source: Various media, Ministry of Government Legislation, Credit Suisse
Chung family's ES Chung's Glovis shares will eventually be used to take control of HMG. As Glovis Glovis stakes to be is the biggest asset class for ES Chung, it has been market consensus that the value of traded for HMG the company should rise to maximise the benefit of ES Chung for future HMG restructuring. restructuring Reversely, it indicates that ES Chung will eventually trade his Glovis stake to control HMG under various restructuring scenarios.
Hyundai Glovis (086280.KS / 086280 KS) 10 2 February 2017
Figure 32: Owner family’s stakes in major affiliates: ES Chung's biggest asset class is still on Glovis MK Chung (Chairman) ES Chung (Vice chairman) Aggregated 1/26/2016 Shares Stake MV or BV Share Total Shares Stake MV or BV Share Total Shares Stake MV or BV Share Total (mn) (%) (W bn) price (W) value (mn) (%) (W bn) price (W) value (mn) (%) (W bn) price (W) value after tax after tax after tax Hyundai Motor 11.4 5.2 1,624 142,500 1,267 5.0 2.3 715 142,500 558 16.4 7.5 2,339 142,500 1,824 Kia Motors 37,750 7.1 1.7 267 37,750 208 7.1 1.7 267 37,750 208 Hyundai Mobis 6.8 7.0 1,803 266,000 1,406 266,000 6.8 7.0 1,803 266,000 1,406 Hyundai Glovis 2.5 6.7 412 163,500 321 8.7 23.3 1,428 163,500 1,114 11.2 30.0 1,839 163,500 1,435 Hyundai Steel 15.8 11.8 935 59,300 729 59,300 15.8 11.8 935 59,300 729 Hyundai Wia 69,300 0.5 2.0 37 69,300 29 0.5 2.0 37 69,300 29 Innocean 61,100 0.4 2.0 24 61,100 19 0.4 2.0 24 61,100 19 Total 36.5 4,773 3,723 21.7 2,470 1,927 58.2 7,244 5,650 Source: Company data, Credit Suisse estimates
Under any HMG holding structure scenario, the Chung family will reduce Glovis' stakes. We provide three HMG holding structure change scenarios which all require ES Chung and MK Chung to exchange Glovis' stakes to acquire newly created holding company to control HMG. Detailed HMG holding structure scenario analyses are explained in Korea Market Strategy report.
Hyundai Glovis (086280.KS / 086280 KS) 11 2 February 2017
Scenario 1. Splitting HMC, Kia, and Mobis into Holdco and Opco, followed by three Holdco mergers to create the new HMG Holdco and the Chung family's share transitions to acquire HMG Holdco. Figure 33: Splitting Mobis, HMC, and Kia into Holdco and Opco (split ratio of 30% for Holdco and 70% for Opco)
Source: Company data, Credit Suisse estimates
Figure 34: Pros and cons of three Holdco and merger scenario Pros 1. Least group level costs as newly created Holdco already owns subsidiary's Opco and Holdco. 2. Ideal structure as every subsidiary is simply arranged. 3. HMC, Kia, and Mobis can create leaner organisation, increasing ROE. 4. HMG can have financial subsidiaries via forming intermediary financial holdco if the proposed regulation is passed. 5. Over 21% of treasury shares firmly support the group holding structures. Cons 1. Requires the longest period of time with many shareholder meetings. 2. During stake swap between holdco-opco, the owners' controlling power on HMG holdco could be weaken. 3. Requires many shareholder meetings steps - it would be very controversial on split/merger ratio. 4. HMG must sell its financial subsidiaries if the proposed intermediary financial holdco regulation is not passed. Source: Credit Suisse estimates
Hyundai Glovis (086280.KS / 086280 KS) 12 2 February 2017
Figure 35: ES Chung & MK Chung give their Glovis, Opco (HMC, Kia, Mobis), and affiliates' stakes (Hyundai Steel, Hyundai Wia, Innocean ) and get new shares of HMG Holdco
Source: Company data, Credit Suisse estimates
Figure 36: New Hyundai Motor Group structures
Source: Company data, Credit Suisse estimates
Hyundai Glovis (086280.KS / 086280 KS) 13 2 February 2017
Figure 37: Total costs and gains under three Holdcos and merger scenario
Note: Green colored row includes transactions between HMG Holdco and Chung family Source: Company data, Credit Suisse estimates
Hyundai Glovis (086280.KS / 086280 KS) 14 2 February 2017
Scenario 2. Splitting Hyundai Mobis into Holdco and Opco, followed by the Chung family's share transitions to acquire Mobis Holdco. Figure 38: Splitting Mobis into Holdco and Opco (split ratio of 30% for Holdco and 70% for Opco)
Source: Company data, Credit Suisse estimates
Figure 39: Pros and cons of Mobis Holdco scenario Pros 1. Chung family can secure 42.6% of Mobis Holdco shares. 2. It only requires Mobis shareholder meeting thus could be done relatively short period of time. 3. Over 12% of treasury shares firmly support the group holding structures. Cons 1. Group level execution costs are high. 2. Requires more transactions to complete the holding structures. 3. Still Kia & Glovis have Mobis Opco stakes. 4. Kia & Hyundai Steel are grandson companies thus they must own 100% of their subsidiaries. 5. Hyundai Motor must sell its financial subsidiaries if the proposed intermediary financial holdco regulation is not passed. Source: Credit Suisse estimates
Hyundai Glovis (086280.KS / 086280 KS) 15 2 February 2017
Figure 40: Mobis Holdco acquires Glovis, HMC, Mobis Opco stakes from ES Chung & MK Chung by issuing new shares
Source: Company data, Credit Suisse estimates
Figure 41: Hyundai Mobis Holding company scenario
Source: Company data, Credit Suisse estimates
Hyundai Glovis (086280.KS / 086280 KS) 16 2 February 2017
Figure 42: Total costs and gains under Hyundai Mobis Holding company scenario
Note: Green colored row includes transactions between HMG Holdco and Chung family
Source: Company data, Credit Suisse estimates
Hyundai Glovis (086280.KS / 086280 KS) 17 2 February 2017
Scenario 3. Splitting HMC into Holdco and Opco, followed by the Chung family's share transitions to acquire HMC Holdco. Figure 43: Splitting Hyundai Motor into Holdco and Opco (split ratio of 30% for Holdco and 70% for Opco)
Source: Company data, Credit Suisse estimates
Figure 44: Pros and cons of Hyundai Motor Holdco scenario Pros 1. HMC already owns most subsidiaries and uses its ample cash holding for transactions. 2. Ideal structure as every subsidiary is simply arranged. 3. HMG can have financial subsidiaries via forming intermediary financial holdco if the proposed regulation is passed. 4. Over 14% of treasury shares firmly support the group holding structures. Cons 1. Group level execution costs are the highest. 2. Mobis is under Kia as a grandson company; Mobis must own 100% of for its subsidiaries. 3. Kia should spend its cash to purchase Mobis (maybe against Kia shareholders' will) 4. Hyundai Motor must sell its financial subsidiaries if the proposed intermediary financial holdco regulation is not passed. Source: Credit Suisse estimates
Hyundai Glovis (086280.KS / 086280 KS) 18 2 February 2017
Figure 45: ES Chung & MK Chung give Glovis & HMC Opco stakes to get new issues of HMC Holdco
Source: Company data, Credit Suisse estimates
Figure 46: New Hyundai Motor Group structures
Source: Company data, Credit Suisse estimates
Hyundai Glovis (086280.KS / 086280 KS) 19 2 February 2017
Figure 47: Total costs and gains under Hyundai Motor Holding company scenario
Note: Green colored row includes transactions between HMG Holdco and Chung family
Source: Company data, Credit Suisse estimates
Gauging risk factors (1) M&A could lead to higher earnings growth With HMG's stagnant growth outlook, we believe Glovis needs to look for an M&A opportunity to diversify its sales channels. If third-party sales grow faster than expected, there are upside risks to our cautious view on the stock. (2) Faster-than-expected market share gain PCC and CKD sales in HMG. If Glovis' PCC market share rises quicker than expected from Euror, or secures CKD sales from an additional HMG overseas plants, there is revenue upside to our current estimates. (3) Government regulation on governance structure and ownership succession: Potentially it could lead to more stake selling by the owner family. (4) Slower HMG sales volume: As we are cautious on Hyundai Motors’ group sales volume going forward, Glovis could see slower growth in the foreseeable future.
Hyundai Glovis (086280.KS / 086280 KS) 20 2 February 2017
Company profile Hyundai Glovis Co., Ltd. is a Korea-based company under Hyundai Motors Group (HMG), which provides integrated logistics and distribution services. Background: Hankook Logitech Co. Ltd was formed in February 2001 to provide ocean transportation logistics advice, cargo space, loading/unloading and packaging for South Korean government and companies. It changed its name to Hyundai Glovis in June 2003 and established Hyundai Glovis Alabama, USA, to support HMG’s business in the region. The company was listed in December 2005 and continually increased PCC (pure car carrier) market share in the group. In 2011, the company launched an auto parts recycling business, named "OnECO", and it mainly consists of the distribution of reused and remanufactured auto parts. Business: Glovis' logistics business consists of various services such as outbound logistics, inbound logistics, project cargo, logistics among multiple countries, domestic transportation, military logistics, logistics consulting and others, covering general and bulk cargoes such as automobile equipment, steel manufacturing equipment, and commodities, i.e., coils, grains and oil products. The firm also provides shipping and air freight logistics services. Its distribution business is engaged in the distribution of automobile completely knocked down (CKD) components, as well as the auction of used cars and others. Glovis is also involved in logistic equipment leasing, storage services and others. Shareholding and noteworthy points: The major shareholders of the firm are the Chung family (ES Chung and MK Chung, 23.3% and 6.7%, respectively) and Hyundai Motor Company (4.9%). In 2005, ES Chung and MK Chung held 31.88% and 28.12% of the firm. While MK Chung lowered the position to 6.7%, ES Chung (MK’s only son) kept his stake at 31.88% until January 2015 and lowered it to 23.3% to avoid intra-group transaction regulation.
Figure 48: Glovis sales breakdown as of 2016 Figure 49: Shareholding structure as of 3Q16
Merchandising ES Chung Minority 23% International 36% logistics Domestic 40% MK Chung logistics 7% 7% MK CKD Blackrock 1% foundation 40% Korea 5% HMC Investment 5% 1% KNPS Wihelmsen 10% 12% Source: Company data, Credit Suisse estimates Source: Company data, Credit Suisse estimates
Figure 50: Glovis – market cap trend with major historical events
(Won tn) MK Chung reduced Wilhelms reduced ES Chung tried blockdeal 15 Business expansion his stake his stake with HMG Labour strikes 12 in HMG GFC 9
6 HMC purchased 3 Strong KRW W10tn land from KEPCO depressed HMG 0 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 HYUNDAI GLOVIS - MARKET VALUE
Source: Datastream, Company data, Credit Suisse estimates
Hyundai Glovis (086280.KS / 086280 KS) 21 2 February 2017
Valuation Initiating with Initiating coverage with a NEUTRAL rating and target price of W140,000. We initiate NEUTRAL and coverage on Hyundai Glovis (Glovis) with a NEUTRAL rating and target price of W140,000 W140,000 target price by applying target P/E of 9.6x to 2017E EPS. Our target P/E was derived by averaging HMG affiliates' and Glovis' historical average P/E. Considering (1) 70% of Glovis' sales are generated from HMG and (2) Glovis' valuation has begun to de-rate post the Chung family's block trade to satisfy the regulation in 1Q15, we think applying average P/E of HMG affiliates and Glovis' historical average is appropriate to derive the right target multiple for the company. We use a P/E-based methodology, the most widely used valuation method, for Glovis as the market primarily focuses on the rate of earnings growth and the recovery in earnings momentum. Figure 51: Hyundai Glovis target price Rationales Multiples/Value Hyundai Glovis' average PER after Chung family's block trade in 1Q15 (A) 14.4x Hyundai Motor Group affiliates' weighted average PER after 1Q15 (B) 7.5x Target PER (C ) = average ((30% * A) + (70% * B)) 9.6x Glovis 2017E EPS (D) W14,739 Fair value (C) X (D) W140,875 12month target price (rounding off) W140,000
HMG affiliates include Hyundai Motor, Kia Motors, Hyundai Mobis, Hyundai Steel and Hyundai E&C Source: Company data, Credit Suisse estimates
Figure 52: Glovis—annual earnings forecasts 2017E 2018E (KRW bn, %) CS est Consensus Variance (%) CS est Consensus Variance (%) Sales revenue 15,870 16,261 -2.4 16,567 17,026 -2.7 Operating profit 784 840 -6.7 816 893 -8.6 Pre-tax profit 852 826 3.2 888 896 -0.8 Net profit 622 596 4.4 648 634 2.2 OP margin 4.9 5.2 -0.2%ppt 4.9 5.2 -0.3%ppt Pre-tax margin 5.4 5.1 0.3%ppt 5.4 5.3 0.1%ppt NP margin 3.9 3.7 0.3%ppt 3.9 3.7 0.2%ppt
Source: Company data, The BLOOMBERG PROFESSIONAL™ service consensus estimates, Credit Suisse estimates
Figure 53: Glovis—one-year forward P/E trend Figure 54: Glovis—one-year forward P/B trend (x) (x) 35 7 30 6 Average 12m forward PBR is 3.1x 25 Average 12m forward PER is 16.x 5 during 2006-2017YTD during 2006-2017YTD 20 4 15 3 2 10 1 5 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 Glovis 12m forward PER trend Glovis 12m forward PBR trend Source: Company data, Credit Suisse estimates Source: Company data, Credit Suisse estimates
Hyundai Glovis (086280.KS / 086280 KS) 22 2 February 2017
Figure 55: Glovis—one-year forward P/E band Figure 56: Glovis—one-year forward P/B band
('000 W) 25.0x ('000 W) 4.0x 350 350 300 17.0x 300 2.5x 250 250 13.0x 200 200 1.8x 10.0x 150 150 1.4x 8.0x 1.0x 100 100 50 50 0 0 Jan-06 Jan-08 Jan-10 Jan-12 Jan-14 Jan-16 Jan-06 Jan-08 Jan-10 Jan-12 Jan-14 Jan-16 Source: Company data, Credit Suisse estimates Source: Company data, Credit Suisse estimates
Figure 57: Global peer—valuation comparison (logistics) Company Code Rec Price TP % Mkt Cap 2017E 2018E PER PBR EV/ NP Margin EPS YoY ROE PER PBR EV/ NP Margin EPS YoY ROE As of 31-Jan-2017 (local) (local) Upside (USD mn) (x) (x) EBITDA (x) (%) (%) (%) (x) (x) EBITDA (x) (%) (%) (%) Yamato Holdings 9064.T NC 2280 N/A N/A 8,008 23.0 1.6 7.5 2.7 3.0 7.3 21.3 1.6 7.3 2.8 7.9 7.4 Nippon Express 9062.T NR 599 N/A N/A 5,481 15.9 1.1 7.5 2.0 5.9 7.2 15.2 1.0 7.3 2.0 4.4 7.3 Mitsubishi Logistics 9301.T NR 1606 N/A N/A 2,491 29.2 1.1 12.1 4.7 3.0 3.8 28.4 1.0 11.7 4.9 2.8 3.8 Fukuyama Transporting 9075.T NR 622 N/A N/A 1,529 16.9 0.7 9.6 3.5 -8.8 4.0 17.1 0.7 9.4 3.3 -1.3 3.9 FedEx FDX.N O 193 205 6.1 51,503 16.2 3.4 7.6 5.3 10.0 21.1 14.5 3.0 7.1 5.6 11.8 20.4 UPS UPS.N N 117 113 -3.4 102,127 18.9 36.3 10.6 8.3 6.3 192.3 17.4 31.7 10.0 8.4 8.8 182.5 Panalpina PWTN.S U 123 125 1.6 2,938 22.8 5.3 11.6 2.4 32.5 23.3 18.5 4.9 9.5 2.8 23.5 26.8 Kuehne+Nagel KNIN.VX U 134 126 -6.1 16,196 21.0 10.0 12.8 4.5 8.7 47.8 19.6 9.5 11.9 4.7 7.3 48.8 DHL DPWGn.DE U 31 25.19 -19.9 41,735 15.1 4.6 8.0 4.4 -1.7 31.8 13.9 3.9 7.4 4.6 9.2 29.5 CH Robinson CHRW.OQ U 77 64 -16.4 10,843 20.8 8.9 12.9 3.7 3.1 43.0 19.1 8.6 12.2 3.7 8.9 45.2 CJ Korea Express 000120.KS O 163,000 270,000 65.6 3,202 18.5 1.2 13.1 2.4 58.7 6.3 15.0 1.1 11.6 2.7 23.7 7.3 Hyundai Glovis 086280.KS N 155,500 140,000 -10.0 5,022 10.6 1.5 6.1 3.5 9.3 14.1 10.1 1.3 5.4 3.5 4.2 13.3 Global Average 19.1 6.3 9.9 4.0 10.8 33.5 17.5 5.7 9.2 4.1 9.3 33.0 Source: Company data, Credit Suisse estimates, IBES estimates for not rated stocks
Figure 58: Global peer—valuation comparison (Hyundai Motors Group) Company Code Rec Price TP % Mkt Cap 2017E 2018E (local) (local) Upside PER PBR EV/ NP Margin EPS YoY ROE PER PBR EV/ NP Margin EPS YoY ROE As of 31-Jan-2017 (USD mn) (x) (x) EBITDA (x) (%) (%) (%) (x) (x) EBITDA (x) (%) (%) (%) Hyundai Motors 005380.KS O 139,500 163,000 16.8 26,465 6.5 0.6 1.7 6.5 13.7 8.6 6.0 0.5 1.5 6.7 7.5 8.6 Kia Motors 000270.KS N 36,400 40,000 9.9 12,708 6.3 0.5 2.9 4.3 -14.4 8.4 5.0 0.5 2.5 5.3 24.4 9.6 Hyundai Mobis 012330.KS O 242,000 345,000 42.6 20,289 6.7 0.8 4.5 8.6 15.5 11.2 6.4 0.7 3.9 8.8 5.4 10.7 Hyundai Wia 011210.KS N 64,600 62,000 -4.0 1,513 8.8 0.5 3.7 2.5 52.7 5.8 7.0 0.5 2.8 3.0 26.5 6.9 Hyundai Steel 004020.KS O 58,200 71,000 22.0 6,689 8.2 0.5 6.2 5.0 14.1 5.6 7.6 0.4 5.4 5.7 7.2 5.7 Hyundai E&C 000720.KS N 41,550 42,000 1.1 3,985 9.0 0.7 2.4 2.7 5.3 7.7 9.4 0.6 1.8 2.7 -5.0 6.9 Hyundai Glovis 086280.KS N 155,500 140,000 -10.0 5,022 10.6 1.5 6.1 3.5 9.3 14.1 10.1 1.3 5.4 3.5 4.2 13.3 Global Average 8.0 0.7 3.9 4.7 13.8 8.8 7.4 0.7 3.3 5.1 10.0 8.8 Source: Company data, Credit Suisse estimates
Figure 59: Glovis—quarterly earnings forecasts (KRW bn, %) 1Q16 2Q16 3Q16 4Q16 2016 1Q17E 2Q17E 3Q17E 4Q17E 2017E Sales 3,763 3,839 3,819 3,920 15,341 3,857 4,104 3,837 4,071 15,870 (%, YoY) 11.1 3.7 -1.1 5.3 4.6 2.5 6.9 0.5 3.9 3.4 OP 192 196 184 157 729 192 203 188 201 784 (%, YoY) 10.3 23.6 2.9 -16.0 4.4 -0.4 3.6 2.2 28.5 7.5 RP 240 164 277 22 704 204 217 205 227 852 (%, YoY) 39.9 8.5 230.2 -88.1 18.8 -15.2 32.3 -26.1 924.9 21.1 NP 179 103 219 5 506 149 158 150 165 622 (%, YoY) 48.6 -8.6 1,294.5 -96.4 34.2 -17.0 53.9 -31.7 3,463.8 23.0 OP margin 5.1 5.1 4.8 4.0 4.8 5.0 5.0 4.9 4.9 4.9 RP margin 6.4 4.3 7.3 0.6 4.6 5.3 5.3 5.3 5.6 5.4 NP margin 4.8 2.7 5.7 0.1 3.3 3.9 3.9 3.9 4.1 3.9
Source: Company data, Credit Suisse estimates
Hyundai Glovis (086280.KS / 086280 KS) 23 2 February 2017
Companies Mentioned (Price as of 31-Jan-2017) CH Robinson (CHRW.OQ, $76.06) CJ Korea Express (000120.KS, W163,000, OUTPERFORM, TP W270,000) Deutsche Post DHL (DPWGn.DE, €30.96) FedEx Corporation (FDX.N, $189.11) Fukuyama Trans (9075.T, ¥622) Hyundai E&C (000720.KS, W41,550, NEUTRAL, TP W42,000) Hyundai Glovis (086280.KS, W155,500, NEUTRAL, TP W140,000) Hyundai Mobis (012330.KS, W242,000, OUTPERFORM, TP W345,000) Hyundai Motor Company (005380.KS, W139,500, OUTPERFORM, TP W163,000) Hyundai Steel Co. (004020.KS, W58,200, OUTPERFORM, TP W71,000) Hyundai Wia (011210.KS, W64,600, NEUTRAL, TP W62,000) Kia Motors (000270.KS, W36,400, NEUTRAL, TP W40,000) Mitsubishi Logis (9301.T, ¥1,606) Nippon Express (9062.T, ¥599) Panalpina (PWTN.S, SFr122.0) Samsung SDS (018260.KS, W126,000, NEUTRAL, TP W120,000) United Parcel Service Inc. (UPS.N, $109.13) Yamato Holding Co Ltd (9064.T, ¥2,280)
Disclosure Appendix Analyst Certification I, Michael Sohn, certify that (1) the views expressed in this report accurately reflect my personal views about all of the subject companies and securities and (2) no part of my compensation was, is or will be directly or indirectly related to the specific recommendations or views expressed in this report.
3-Year Price and Rating History for CJ Korea Express (000120.KS)
000120.KS Closing Price Target Price Date (W) (W) Rating 05-Sep-16 202,500 270,000 O * * Asterisk signifies initiation or assumption of coverage.
OUTPERFORM
3-Year Price and Rating History for Hyundai E&C (000720.KS)
000720.KS Closing Price Target Price Date (W) (W) Rating 25-Apr-14 55,000 70,000 O 25-Jul-14 62,100 75,000 24-Oct-14 49,350 70,000 23-Jan-15 41,200 60,000 24-Apr-15 55,000 60,000 N 27-Jul-15 34,450 45,000 O 27-Jan-16 34,750 48,000 27-Apr-16 39,000 45,000 N 27-Jul-16 34,950 42,000 O 27-Oct-16 42,250 42,000 N OUTPERFORM NEUTRAL * Asterisk signifies initiation or assumption of coverage.
Hyundai Glovis (086280.KS / 086280 KS) 24 2 February 2017
3-Year Price and Rating History for Hyundai Mobis (012330.KS)
012330.KS Closing Price Target Price Date (W) (W) Rating 28-Apr-14 301,500 374,000 O 26-Jul-14 281,500 365,000 24-Oct-14 241,000 358,000 03-Mar-15 256,000 NR * 21-Apr-15 238,000 300,000 O * 09-Jun-15 206,500 270,000 27-Jul-15 214,000 240,000 16-Oct-15 234,000 280,000 28-Jan-16 271,000 300,000 27-Apr-16 252,500 320,000 OUTPERFORM N O T RAT ED 21-Sep-16 281,500 360,000 26-Jan-17 266,000 345,000 * Asterisk signifies initiation or assumption of coverage.
3-Year Price and Rating History for Hyundai Motor Company (005380.KS)
005380.KS Closing Price Target Price Date (W) (W) Rating 24-Apr-14 242,000 294,000 O 24-Jul-14 229,000 287,000 23-Oct-14 171,000 252,000 03-Mar-15 166,500 NR 21-Apr-15 171,000 170,000 N * 10-Jun-15 134,500 150,000 14-Jul-15 125,500 137,000 08-Sep-15 156,500 150,000 27-Jan-16 137,000 145,000 29-Feb-16 147,500 190,000 O OUTPERFORM N O T RA T ED 18-Jul-16 132,000 175,000 NEUTRAL 05-Oct-16 140,000 168,000 25-Jan-17 142,000 163,000 * Asterisk signifies initiation or assumption of coverage.
3-Year Price and Rating History for Hyundai Steel Co. (004020.KS)
004020.KS Closing Price Target Price Date (W) (W) Rating 07-Feb-14 75,100 84,000 N 26-Feb-14 70,000 72,000 25-Apr-14 66,500 71,000 28-Jul-14 79,000 84,000 12-Aug-14 76,900 90,000 O 24-Jul-15 59,000 75,000 22-Oct-15 55,300 70,000 15-Jan-16 45,400 65,000 27-Apr-16 60,700 72,000 28-Oct-16 49,950 64,000 NEUTRAL OUTPERFORM 25-Jan-17 58,200 71,000 * Asterisk signifies initiation or assumption of coverage.
Hyundai Glovis (086280.KS / 086280 KS) 25 2 February 2017
3-Year Price and Rating History for Hyundai Wia (011210.KS)
011210.KS Closing Price Target Price Date (W) (W) Rating 28-Apr-14 171,500 213,000 O 26-May-14 175,500 228,000 24-Oct-14 192,500 242,000 03-Mar-15 144,500 NR 21-Apr-15 142,000 182,000 O * 07-Jul-15 96,700 140,000 26-Oct-15 134,000 150,000 28-Jan-16 109,000 133,000 27-Apr-16 100,500 104,000 N 27-Jul-16 88,900 94,000 OUTPERFORM N O T RA T ED 27-Oct-16 84,500 86,000 NEUTRAL 26-Jan-17 69,300 62,000 * Asterisk signifies initiation or assumption of coverage.
3-Year Price and Rating History for Kia Motors (000270.KS)
000270.KS Closing Price Target Price Date (W) (W) Rating 25-Apr-14 57,300 60,000 N 22-May-14 60,100 72,000 O 18-Sep-14 54,400 88,500 24-Oct-14 54,400 98,900 26-Jan-15 46,450 70,400 03-Mar-15 46,700 NR 21-Apr-15 47,900 42,000 U * 10-Jun-15 44,250 48,000 N 08-Sep-15 50,600 61,000 O 27-Jan-16 48,600 57,000 NEUTRAL 23-Mar-16 49,800 61,000 OUTPERFORM N O T RA T ED 06-Jul-16 41,400 50,000 UNDERPERFORM
24-Nov-16 36,950 40,000 N * Asterisk signifies initiation or assumption of coverage.
3-Year Price and Rating History for Samsung SDS (018260.KS)
018260.KS Closing Price Target Price Date (W) (W) Rating 25-Nov-14 428,000 470,000 O * 27-Jan-15 242,000 270,000 N 01-May-15 256,000 220,000 U 29-Oct-15 275,000 200,000 22-Jan-16 259,500 180,000 28-Apr-16 168,000 130,000 06-Dec-16 127,500 125,000 N 23-Jan-17 132,000 120,000 * Asterisk signifies initiation or assumption of coverage. OUTPERFORM NEUTRAL UNDERPERFORM
The analyst(s) responsible for preparing this research report received Compensation that is based upon various factors including Credit Suisse's total revenues, a portion of which are generated by Credit Suisse's investment banking activities As of December 10, 2012 Analysts’ stock rating are defined as follows: Outperform (O) : The stock’s total return is expected to outperform the relevant benchmark* over the next 12 months. Neutral (N) : The stock’s total return is expected to be in line with the relevant benchmark* over the next 12 months. Underperform (U) : The stock’s total return is expected to underperform the relevant benchmark* over the next 12 months. *Relevant benchmark by region: As of 10th December 2012, Japanese ratings are based on a stock’s total return relative to the analyst's coverage universe which consists of all companies covered by the analyst within the relevant sector, with Outperforms representing the most attractive, Neutrals the less attractive, and
Hyundai Glovis (086280.KS / 086280 KS) 26 2 February 2017
Underperforms the least attractive investment opportunities. As of 2nd October 2012, U.S. and Canadian as well as European ra tings are based on a stock’s total return relative to the analyst's coverage universe which consists of all companies covered by the analyst within the relevant sector, with Outperforms representing the most attractive, Neutrals the less attractive, and Underperforms the least attractive investment opportunities. For Latin Ame rican and non-Japan Asia stocks, ratings are based on a stock’s total return relative to the average total return of the relevant country or regional benchmark; prior to 2nd October 2012 U.S. and Canadian ratings were based on (1) a stock’s absolute total return potential to its current share price and (2) the relative attractiveness of a stock’s total return potential within an analyst’s coverage universe. For Australian and New Zealand stocks, the expected total return (ETR) calculation includes 1 2-month rolling dividend yield. An Outperform rating is assigned where an ETR is greater than or equal to 7.5%; Underperform where an ETR less than or equal to 5%. A Neutral may be assigned where the ETR is between -5% and 15%. The overlapping rating range allows analysts to assign a rating that puts ETR in the context of associated risks. Prior to 18 May 2015, ETR ranges for Outperform and Underperform ratings did not overlap with Neutral thresholds between 15% and 7.5%, wh ich was in operation from 7 July 2011. Restricted (R) : In certain circumstances, Credit Suisse policy and/or applicable law and regulations preclude certain types of communications, including an investment recommendation, during the course of Credit Suisse's engagement in an investment banking transaction and in certain other circumstances. Not Rated (NR) : Credit Suisse Equity Research does not have an investment rating or view on the stock or any other securities related to the company at this time. Not Covered (NC) : Credit Suisse Equity Research does not provide ongoing coverage of the company or offer an investment rating or investment view on the equity security of the company or related products. Volatility Indicator [V] : A stock is defined as volatile if the stock price has moved up or down by 20% or more in a month in at least 8 of the past 24 months or the analyst expects significant volatility going forward. Analysts’ sector weightings are distinct from analysts’ stock ratings and are based on the analyst’s expectations for the fundamentals and/or valuation of the sector* relative to the group’s historic fundamentals and/or valuation: Overweight : The analyst’s expectation for the sector’s fundamentals and/or valuation is favorable over the next 12 months. Market Weight : The analyst’s expectation for the sector’s fundamentals and/or valuation is neutral over the next 12 months. Underweight : The analyst’s expectation for the sector’s fundamentals and/or valuation is cautious over the next 12 months. *An analyst’s coverage sector consists of all companies covered by the analyst within the relevant sector. An analyst may cover multiple sectors. Credit Suisse's distribution of stock ratings (and banking clients) is:
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Target Price and Rating Valuation Methodology and Risks: (12 months) for CJ Korea Express (000120.KS) Method: Our 12-month target price of W270,000 for CJ Korea Express is based on 2017-2018E PEG of 1.2x, which implies the 2017E target P/E multiple of 30x. We see upside for CJ Korea Express thanks to the strong revenue growth of parcel division and market expansion on the back of economy of scale and pricing hike. Therefore, we maintain our Outperform rating. Risk: Risk that could impede achievement of our W270,000 target price and Outperform rating for CJ Korea Express would be prolonged recession of the global economy which would have negative impact on its logistics services related to industrial products. Target Price and Rating Valuation Methodology and Risks: (12 months) for Hyundai E&C (000720.KS) Method: Our 12-month target price of W42,000 for Hyundai E&C is based on a 0.70x 2017E P/B referring ROE of 8.0%/7.1% in 2017-18E. After the rebound in recent months, we believe the stock now trades at around its fair value, therefore we have a NEUTRAL rating.
Hyundai Glovis (086280.KS / 086280 KS) 27 2 February 2017
Risk: Risks to our W42,000 target price and NEUTRAL rating for Hyundai E&C include unexpected cost overrun from overseas projects and potential slowdown in the domestic housing market. Target Price and Rating Valuation Methodology and Risks: (12 months) for Hyundai Glovis (086280.KS) Method: We assign Hyundai Glovis a NEUTRAL rating in view of slower Hyundai Motor and Kia Motors (HMG) sales growth. We derive the target price of W140,000 by applying a target P/E of 9.6x, which is based on an average P/E of HMG stocks and Glovis' historical average P/E, to 2017E EPS. Risk: Risks to our NEUTRAL rating and TP of KRW140,000 include the following. If third-party sales grow faster than expected, there is upside risk to our cautious view on the stock. For the downside risk, government regulation could be tighter on governance structure and ownership succession. This could lead to more stake selling by the owner family. Also, we are cautious on Hyundai Motors' group sales volume going forward, and believe Glovis is going to see slower growth in the foreseeable future. Target Price and Rating Valuation Methodology and Risks: (12 months) for Hyundai Mobis (012330.KS) Method: Our W345,000 target price for Hyundai Mobis is derived from a target multiple of 9.5x FY17E P/E (price-to-earnings), to which we've applied a valuation discount post its purchase of KEPCO's HQ land. Our OUTPERFORM rating is on the back of Mobis' (1) rising high- margin core parts sales, (2) increasing sales contribution from new businesses (NEV, ADAS and headlamps) and (3) defensive after-sales parts compared with OEMs. Risk: Risks that could impede the achievement of our target price of W345,000 and OUTPERFORM rating for Hyundai Mobis include: (1) KRW appreciation, (2) cost reduction pressures by OEMs, (3) quality defects, and (4) OEM's labour strikes. Target Price and Rating Valuation Methodology and Risks: (12 months) for Hyundai Motor Company (005380.KS) Method: Our W163,000 target price on Hyundai Motor is based on 7.5x FY17E EPS. Our OUTPERFORM rating is on the back of: (1) HMC's favourable change in strategy towards more SUVs in 2016E, (2) US inventory and incentive stabilisition with EM forex/demand recovery, and (3) YoY OP turnaround expected in 4Q16E and 2017E (after a modest +1% YoY turnaround in 2Q16) as the labour strike issue was cleared out in 3Q16. Risk: Risks to Hyundai Motor achieving our W163,000 target price and OUTPERFORM rating include the following: (1) KRW appreciation, (2) labour strikes, (3) quality defects, (4) rising M/S of imported vehicles, and (5) rising customer incentives. Target Price and Rating Valuation Methodology and Risks: (12 months) for Hyundai Steel Co. (004020.KS) Method: Our target price of W71,000 for Hyundai Steel is based on 0.55x 2017E P/B. We maintain OUTPERFORM given solid demand growth for long product which Hyundai Steel has high exposure and the company will be one of key beneficiaries of ongoing China steel mills restructuring. Risk: The primary risk to our W71,000 target price (0.5x 2017E P/B) and OUTPERFORM rating for Hyundai Steel is slower-than-expected recovery in the overall economy and slower steel demand in the region, which would have a negative impact on our forecasts for this heavy commodity-oriented company. Target Price and Rating Valuation Methodology and Risks: (12 months) for Hyundai Wia (011210.KS) Method: Our 12-month target price of W62,000 for Hyundai Wia Corp. is based on PER valuation of 8.5x 2017E EPS, which is derived by applying 38% discount (discount since 2015YTD) to global peer auto parts makers' average 2016E-2017E PER. Our NEUTRAL rating is on the back of (1) unfavourable auto division sales outlook with HMG's overseas capacity expansion (decrease in export sales), (2) diesel engine capacity addition despite diesel engines are losing market shares globally, and (3) low earnings visibility and stability driven from earnings volatility as well as cost sharing pressures with OEMs. Risk: Risks that may impede achievement of our W62,000 target price and NEUTRAL rating for Hyundai Wia Corp. include (1) further cost reduction pressures by OEMs, (2) quality defects, and (3) OEM's labour strikes. Target Price and Rating Valuation Methodology and Risks: (12 months) for Kia Motors (000270.KS) Method: Our target price of W40,000 for Kia Motors was derived by applying target P/E (price-to-earnings) multiple of 7.0x to FY17E EPS (earnings per share), which was derived by applying a logical valuation discount to Kia's intrinsic P/E post purchasing KEPCO's HQ land. Our NEUTRAL rating is based on (1) Kia's peaking SUV sales mix with aging impact from 2H16 (and entrance into a small sedan cycle in 2017E while the sedan market has been shrinking globally) and (2) continued uncertainty regarding 'ordinary wage' disputes which could potentially decrease 2017E pre-tax profit by 18%.
Hyundai Glovis (086280.KS / 086280 KS) 28 2 February 2017
Risk: Key risks to our W40,000 target price and NEUTRAL rating for Kia Motors include: (1) ordinary wage issues, (2) potential revision of Korea-US FTA and NAFTA post US election, (3) KRW appreciation, and (4) quality defects. Target Price and Rating Valuation Methodology and Risks: (12 months) for Samsung SDS (018260.KS) Method: Our target price of W120,000 for Samsung SDS is based on a 20X 2017E P/E. Given limited upside/downside to our TP, we have a NEUTRAL rating. Risk: Risks to our target price of W120,000 and NEUTRAL rating for Samsung SDS: We expect captive revenues from Samsung Group affiliates to continue driving the earnings growth of SDS and to constitute >75% of the company's overall revenues over the next several years. Given this, we think that material changes in Samsung Group's governance structure or its operational performance could have a significant impact on SDS's operational outlook or the stock's valuation.
Please refer to the firm's disclosure website at https://rave.credit-suisse.com/disclosures for the definitions of abbreviations typically used in the target price method and risk sections. See the Companies Mentioned section for full company names The subject company (000120.KS, 000270.KS, 000720.KS, 005380.KS, 012330.KS, 018260.KS, CHRW.OQ, DPWGn.DE, PWTN.S) currently is, or was during the 12-month period preceding the date of distribution of this report, a client of Credit Suisse. Credit Suisse provided investment banking services to the subject company (000270.KS, 005380.KS, 012330.KS, CHRW.OQ) within the past 12 months. Credit Suisse has received investment banking related compensation from the subject company (000270.KS, 005380.KS, 012330.KS, CHRW.OQ) within the past 12 months Credit Suisse expects to receive or intends to seek investment banking related compensation from the subject company (000120.KS, 000270.KS, 000720.KS, 004020.KS, 005380.KS, 012330.KS, 018260.KS, CHRW.OQ, DPWGn.DE, PWTN.S, UPS.N) within the next 3 months. Credit Suisse beneficially holds >0.5% long position of the total issued share capital of the subject company (086280.KS, 000120.KS, 000270.KS, 000720.KS, 004020.KS, 005380.KS, 011210.KS, 012330.KS, 018260.KS). For other important disclosures concerning companies featured in this report, including price charts, please visit the website at https://rave.credit- suisse.com/disclosures or call +1 (877) 291-2683. For date and time of production, dissemination and history of recommendation for the subject company(ies) featured in this report, disseminated within the past 12 months, please refer to the link: https://rave.credit-suisse.com/disclosures/view/report?i=280721&v=- 1gph8pnwd2e4yocykyq1u6ocy . Important Regional Disclosures Singapore recipients should contact Credit Suisse AG, Singapore Branch for any matters arising from this research report. The analyst(s) involved in the preparation of this report may participate in events hosted by the subject company, including site visits. Credit Suisse does not accept or permit analysts to accept payment or reimbursement for travel expenses associated with these events. Restrictions on certain Canadian securities are indicated by the following abbreviations: NVS--Non-Voting shares; RVS--Restricted Voting Shares; SVS--Subordinate Voting Shares. Individuals receiving this report from a Canadian investment dealer that is not affiliated with Credit Suisse should be advised that this report may not contain regulatory disclosures the non-affiliated Canadian investment dealer would be required to make if this were its own report. For Credit Suisse Securities (Canada), Inc.'s policies and procedures regarding the dissemination of equity research, please visit https://www.credit- suisse.com/sites/disclaimers-ib/en/canada-research-policy.html. The following disclosed European company/ies have estimates that comply with IFRS: (DPWGn.DE, PWTN.S). Credit Suisse has acted as lead manager or syndicate member in a public offering of securities for the subject company (005380.KS) within the past 3 years. Principal is not guaranteed in the case of equities because equity prices are variable. Commission is the commission rate or the amount agreed with a customer when setting up an account or at any time after that. This research report is authored by: Credit Suisse Securities (Europe) Limited, Seoul Branch ...... Michael Sohn To the extent this is a report authored in whole or in part by a non-U.S. analyst and is made available in the U.S., the following are important disclosures regarding any non-U.S. analyst contributors: The non-U.S. research analysts listed below (if any) are not registered/qualified as research analysts with FINRA. The non-U.S. research analysts listed below may not be associated persons of CSSU and therefore may not be subject to the NASD Rule 2711 and NYSE Rule 472 restrictions on communications with a subject company, public appearances and trading securities held by a research analyst account. Credit Suisse Securities (Europe) Limited, Seoul Branch ...... Michael Sohn For Credit Suisse disclosure information on other companies mentioned in this report, please visit the website at https://rave.credit- suisse.com/disclosures or call +1 (877) 291-2683.
Hyundai Glovis (086280.KS / 086280 KS) 29 2 February 2017
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Hyundai Glovis (086280.KS / 086280 KS) 30