1Q24_EN hyundai capital 1q performance

1Q24_EN hyundai capital 1q performance

1. EARNINGS RELEASE
1Q 2024

2. Disclaimer
This presentation and its contents have been prepared by Hyundai Capital Services, Inc. (“HCS” or “the
Company”) solely for information purposes, and may not be reproduced, published, redistributed, or transferred,
directly or indirectly to any other person, in whole or in part, for any purpose.
The Company has not taken measures to independently verify data contained in this material. No representations or warranties,
express or implied, are made as to, and no reliance should be placed on, the accuracy, fairness or completeness of the information
presented or contained herein. This presentation shall not be construed as legal, tax, investment, or other advice.
Financial statements in this document have been prepared in accordance with K-IFRS. Other additional contents such as market or
industry information have been sourced internally or from various associations. The data contained in this presentation is current
as of the date hereof, but the Company shall not be liable for any updates or verification of the contents thereafter.
Certain information and statements in this presentation contain estimates and other “forward-looking statements” which should
be approached with caution. The Company shall not be responsible for any losses or damages incurred based on these forward-
looking statements.

3. Hyundai Capital Services (HCS)
Leading Captive Finance Company in the Market
Credit Ratings
②
•Domestic
Business Portfolio
Auto
captive
Auto
maker 82.4%
Auto
￦
17.6%
Non-Auto
Key Figures
①
Financial Assets
34.4
T KRW
IBT
177.4
BnKRW
Shareholders
•Global
A3
Baa1
Baa2
2022 2023 2024
1
Hyundai Motor Group (HMG)
99.9% ownership
59.7%
40.1%
Hyundai
Motor
KIA
②Rating agencies: Domestic (NICE), Global (Moody’s)
2022 2023 2024
AA+
AA
AA-
AAA
①As of ‘24.03 End

4. 76,814
75,809
81,760
Hyundai Motor Group (HMG)
Maintaining Focus on Profitability, through Improved Regional Mix and Focus on High Value Vehicles
HMG Sales Mix and Profitability
•Slight decrease in sales from temporary shutdown of production due
to EV transition
•Increased share of high ASP models such as Genesis and SUV
HMG Global Car Sales
①
6,666
6,845
7,306
2021 2022 2023
•Maintaining high profitability from improved sales mix focused on
high ASP models and hybrid vehicles
Operating
income
Operating
margin
Revenues
(T KRW)
(K units)
Car Sales by Region
Global
HMG Global
Car Sales
Others
India
Europe
③
North
Americas
②
Korea
2
Korea North Americas
Europe India
HMC KIA
①HMC, KIA Biz. Performance Report, Wholesale ②HMC North Americas, KIA US③HMC Europe, KIA Western Europe ④HMC Genesis+SUV, KIA RV
1,791 1,767
1Q23 1Q24
18,910
19,436
22%
13%
18%
31%
17%
1,767
1Q24
333
298
1Q23 1Q24
504
542
1Q23 1Q24
307 313
1Q23 1Q24
224 226
1Q23 1Q24
57.8%
62.8%
1Q23 1Q24
Portion of
HighASP
Models
④
66.1%
72.6%
1Q23 1Q24
HMC KIA
+5.0%p
+6.5%p
2.9
3.4
24
26
3.6 3.6
38
41
12.6%
13.1%
9.5%
8.7%

5. 2.3
1.9
1.0 0.9
3.6
3.4
3.2 3.2
0.8
1.6
1.5 1.6
0.3
0.3
0.5 0.5
7.0T
7.2T
6.2T 6.1T
2021 2022 2023 1Q24
Asset
Stronger HMG Sales Support Resulted in Highest Auto Portion in 12 Years
Auto Non-Auto
•New cars: Maintained asset volume despite decrease in production
•Lease: Continued growth, with focus on high ASP models
•Used cars: Offering captive financing for HMG’s CPO business
•P-Loan: 100% X-Sell to Auto Finance Customers
•PF: Sound portfolio focused on term loan, senior tranche,
metropolitan exposure (4.6%)
New Car
Lease
Used car
Portion
3
(TKRW)
P-Loan
Mortgage
Others
PF
Portion
(T KRW)
73.5% 73.3% 76.8% 78.7%M/S
77.6%
78.3%
82.1% 82.4%
P-Loan % 7.2% 5.6% 2.8% 2.5%
22.4%
21.7%
17.9% 17.6%
14.8
15.8
17.5 17.3
6.7
7.6
7.9 8.0
2.8
2.6
2.9 3.0
24.3T
26.1T
28.3T 28.4T
2021 2022 2023 1Q24

6. P&L
Improved Profitability from Enhanced Auto Product Competitiveness and Stabilized Bad Debt Expense
Summary of Financial Statement
(BnKRW)
Key Message
•Revenue increase from auto-centric asset growth (34.4T, YoY +4.4%)
Lease income
Operating Revenue
①
Operating Expense
②
Operating Income
Interest expense
Installment income
IBT
Bad debt expense
Non-operating Income
Equity Method
income
-Sharp increase in Installment income from enhanced product competitiveness
-Lease income boosted from increased demand for high ASP vehicle leasing
•Operating Expense increased from high interest rate environment
30+ %
-Interest expense increased from continued high interest rate trends
-Stable asset quality, despite industry wide deterioration
•Stable delinquency% from pre-emptive risk management
①,②Excl. FX and derivatives impact ③Reflects 40.5Bn KRW equity method losses by impairment assessment of HCBE after Allaneacquisition
④Reflecting reduction in corporate tax expense of 99.3Bn, due to change in the accounting treatment of deferred corporate tax following the dividend payout of HCUK, BHAF
Net Income
4
SG&A
2022
3,787.0
3,311.8
474.5
711.8
583.3
1,799.8
610.5
198.3
108.8
103.8
437.1
676.0
2023
4,478.7
4,108.1
364.3
1,087.4
432.7
2,185.5
827.7
279.4
68.4
59.7
③
459.9
④
704.2
+13.9%
YoY
+10.4%
+54.8%
+16.3%
+107.3%
+29.4%
+19.0%
-15.2%
+344.1%
+280.9%
+112.2%
+8.3%
1Q23
1,053.2
954.7
96.8
254.9
85.5
488.4
186.4
66.4
-11.3
-13.4
③
65.0
164.0
1Q24
1,199.7
1,054.2
149.9
296.4
177.4
581.0
241.2
56.3
27.5
24.2
137.8
177.6
1.48%
0.94%
1.04%
0.92% 0.91%
2020 2021 2022 2023 1Q24

7. Key Index
Solid Financial Position Maintained Within Regulatory Guidelines
Provision Funding
•Regulatory reserves managed above government guideline(100%) •Stable funding through portfolio diversification
Debt
Balance
31.1T KRW
1Q24 Guideline
6M Coverage
①
130% 100%
ALM
②
126% 100%
Liquidity
•Stable liquidity mgmt. based on conservative internal guideline
Capital Adequacy
•Leverage managed well below regulatory guideline (9x)
5
•Leading the ESG bond market, through issuance of Green Bonds
& SLB (Sustainability-linked Bonds)
Asset Leverage
(Asset/Equity)
Regulatory
Reserve
Coverage
①Total liquidity / 6M coverage ②Average maturity of liability / Average maturity of asset
122.6%
129.4%
131.1% 131.5%
2021 2022 2023 1Q24
Domestic Bond
53%
Overseas
Bond
20%
ABS
17%
Bank
9%
CP
1%
USD JPY AUD CHF
CNY EUR HKD SGD
7.2x
7.4x
7.2x
7.0x
2021 2022 2023 1Q24
No dividend Payout since ’21

8. Appendix
1.Financial Statements
2.Key Figures

9. 1. Financial Statements
Consolidated Income Statement Consolidated Statement of Financial Position
(BnKRW) 2021 2022 2023 1Q24
Operating Revenue
①
2,941.2 3,787.0 4,478.7 1,199.7
Interest income 1,493.7 1,647.3 1,876.4 501.0
Installment income 588.8 610.5 827.7 241.2
Otherinterest income 904.9 1,036.8 1,048.7 259.8
Fee income 161.0 158.7 161.7 44.7
Lease income 1,109.4 1,799.8 2,185.5 581.0
Gain on sales of loan
receivables
7.9 24.3 53.7 22.7
Others 169.2 156.9 201.4 50.3
Operating Expense
②
2,469.8 3,311.8 4,108.1 1,054.2
Interest expense 557.7 711.8 1,087.4 296.4
Fee expense 160.1 169.8 180.7 43.2
Lease expense 906.7 1,500.2 1,776.1 464.1
Bad debt expense 139.5 198.3 279.4 56.3
Loss on sales of loan
receivables
0.0 2.7 2.0 0.4
SG&A 620.2 676.0 704.2 177.6
Others 85.6 53.0 78.3 16.2
Operating Income 486.1 474.5 364.3 149.9
Non-operatingIncome 89.1 108.8 68.4 27.5
Equity method income 71.5 103.8 59.7 24.2
IBT 575.2 583.3 432.7 177.4
Net Income 432.6 437.1 459.9 137.8
(BnKRW) 2021 2022 2023 1Q24
Asset 34,917.1 38,647.5 39,602.039,518.0
Cash and deposit 525.1 1,973.3 1,136.4 799.3
Securities 2,654.4 2,743.0 3,371.4 3,688.4
Loan receivables 10,118.0 9,942.9 9,237.7 9,216.1
Installmentassets 13,752.1 14,720.8 16,411.3 16,265.6
Lease receivables 2,108.3 2,044.9 2,011.3 2,032.9
Lease assets 4,559.0 5,538.1 5,876.9 5,928.4
Tangible assets 196.8 209.3 195.3 195.6
Others 1,003.3 1,475.3 1,361.7 1,391.8
Liabilities 29,710.3 33,017.8 33,565.933,313.9
Borrowings 28,519.1 31,399.2 31,828.8 31,654.2
Others 1,191.2 1,618.6 1,737.2 1,659.7
Equity 5,206.7 5,629.7 6,036.1 6,204.1
Capital 496.5 496.5 496.5 496.5
Capital surplus 388.6 388.6 388.6 388.6
Retained earnings 4,228.8 4,665.9 5,122.1 5,259.9
Others 92.8 78.7 28.8 59.0
①,②Excluding FX and derivatives effect

10. 2. Key Figures
(BnKRW) 2021 2022 2023 1Q24
FinancialAssets 31,340.7 33,271.6 34,526.7 34,439.2
Auto 24,322.6 26,061.3 28,341.9 28,375.2
New car 14,790.8 15,801.0 17,496.6 17,318.7
Lease/rent 6,736.1 7,641.4 7,933.1 8,008.2
Used car 2,795.7 2,618.8 2,912.2 3,048.3
Non-Auto 7,018.2 7,210.4 6,184.9 6,064.0
P-Loan 2,263.2 1,874.9 978.2 857.2
Mortgage 3,640.0 3,415.9 3,156.7 3,154.0
PF 806.2 1,571.3 1,528.2 1,576.4
Others 308.7 348.3 521.8 476.4
(BnKRW) 2021 2022 2023 1Q24
Asset
Quality
①30+ Delinquency 0.94% 1.04% 0.92% 0.91%
Substandard and
below asset ratio
2.19% 2.17% 2.12% 2.16%
Total provision
/30+receivables
274.0% 250.2% 278.1% 276.6%
Leverage
②
7.2x 7.4x 7.2x 7.0x
Total assets 34,412.237,977.3 39,009.038,857.1
Total capital
(previous quarter)
4,780.2 5,149.0 5,450.6 5,533.7
Debt Balance
③
28,209.030,818.0 31,360.531,136.9
Liquidity
④
4,927.5 6,958.1 7,005.8 6,758.2
Cash 1,650.0 2,925.5 2,514.6 2,335.8
Credit Line 3,277.5 4,032.6 4,491.2 4,422.5
①,②Based on separate financial statements ③,④Based on managerial accounting

11. THE END