GKN: Group overview
Engineering that moves the world
GKN: GROUP OVERVIEW
Contents
Every day at GKN we drive the wheels of hundreds
of millions of cars, we help thousands of aircraft to fly,
we deliver the power to move earth and harvest crops
and we make essential components for industries that
touch lives across the globe.
Who we are 3
Our global footprint 4
A technology leader 5
Operational excellence 6
Global markets 7
Delivering to our customers 8
– GKN Aerospace 9
– GKN Driveline 10
– GKN Powder Metallurgy 11
– GKN Land Systems 12
GKN Contacts 13
All group financial data in this document relates to 2014 unless otherwise stated.
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GKN: GROUP OVERVIEW
Who we are
GKN is a global engineering business. Founded more than
250 years ago, we have adapted, developed and grown into
a £7.5 billion business at the forefront of global technology.
We serve most of the world’s leading aircraft, vehicle and
machinery manufacturers. To achieve this our network of
50,000 people work across four market-leading divisions
offering our customers an unrivalled breadth of technology,
geographic footprint and experience.
51,400 employees
33 countries
£7,456m sales in 2014
Listed on the FTSE 100
London Stock Exchange
Sales by division 2014
1 GKN Aerospace
2 GKN Driveline
3 GKN Powder Metallurgy
4 GKN Land Systems
5 Other businesses
30%
46%
12%
11%
1%
4
5
1
3
2
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GKN: GROUP OVERVIEW
Our global footprint
Across six continents GKN is making a difference to people’s
lives in almost every corner of the world. We have more than
150 manufacturing facilities, service centres and offices in
over 30 countries.
This strong geographic footprint enables us to operate in
close proximity to our customers, working in partnership
to develop new technologies, and building long lasting
customer relationships.
And of course we’re not stopping there. As a growing
business our global approach focuses on building our already
strong geographic presence and creating a platform from
which we can serve the fastest growing markets.
Sales by region 2014
1 UK
2 Europe (excluding UK)
3 North America
4 South America
5 Asia Pacific
13%
36%
35%
2%
14%
5
Employees by region 2014
1 UK
2 Europe (excluding UK)
3 North America
4 South America
5 Asia Pacific
6,300
18,200
12,800
2,600
11,500
1
1
5
4
4
3
2
3
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4
GKN: GROUP OVERVIEW
A technology leader
GKN has strong technology positions to help our customers
meet the needs of their consumers. We aim to deliver the
best technology today and develop innovative technologies
for the future, maintaining our leadership.
Global trends, such as emissions legislation, the drive for
efficient vehicles, urbanisation and population growth, are
at the heart our technology investment. We work with our
customers to deliver electric and hybrid vehicles, lightweight
materials, fuel-efficient systems and cost effective solutions
to help them stay ahead.
We are always looking forward, evaluating our markets and
working with our customers. Be it 3D printing, electric hybrid
vehicle technology, advanced composites, future wing
designs or energy storage, GKN is well placed to lead the way.
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GKN: GROUP OVERVIEW
Operational excellence
GKN people are practical, we like to solve problems and
we have a strong culture of operational excellence. We are
continually striving to improve all parts of our business and
we focus on delivering exceptional quality and service to our
global customers.
Our operational focus, innovative engineering and Lean
manufacturing skills enable us to produce high quality
components and systems that are efficient, sustainable and
cost effective for our customers. Every day our 50,000 people
aim to deliver millions of different components on time all
around the world.
Top 10 global customers 2014
1 VW Group
2 Airbus
3 Ford
4 Fiat Chrysler 5 GM Group
6 Renault Nissan Group
7 General Electric 8 United Technologies
9 Boeing
10 Tata Group
2014 sales by customer
7%
6%
6%
6%
5%
5%
4%
4%
4%
3%
1
2
3
4
5
Other
customers
50%
6
7
10
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GKN: GROUP OVERVIEW
Global markets
GKN is positioned to operate in three strong markets
with good dynamics for growth over the long term.
Large commercial aircraft fleet outlook $bn
2015e102.3
2016e104.1
2017e106.7
2018e109.9
2019e111.5
2020e108.8
2015
2016
2017
2018
2019
2020
Source: Teal Group
Aerospace
In civil aerospace, Boeing and Airbus are
forecasting that between 31,000 and
38,000 large commercial aircraft will be
required globally over the next 20 years.
GKN Aerospace is a leader in composite
aerostructures, and engine components and
systems, with a position on most major civil
aerospace platforms.
ENGINEERING THAT MOVES THE WORLD
Global light vehicle production
2015e88.8m
2016e91.9m
2017e95.1m
2018e97.9m
2019e100.8m
2020e102.8m
2015
2016
2017
2018
2019
2020
Source: IHS Automotive
Automotive
Global automotive production of more than
87 million units this year is expected to grow
by over 16% in the next five years. Some 40%
of these vehicles will have GKN components
on them. And an increasing number will be
all-wheel drive, where GKN is the market
leader. In addition, fuel efficiency and weight
savings require cleverly designed powder
metal components – where GKN is, again,
a market leader.
World population growth
20106.9bn
20207.7bn
20308.4bn
20409.0bn
20509.6bn
2010
2020
2030
2040
In all our markets, fuel
efficiency, light weight and
innovation are valued.
2050
Source: UN World Population Prospects
Land Systems
Long term growth in the agricultural,
construction, mining and industrial machinery
markets is driven by the ever increasing
population, which feeds the need for more
food, increased urbanisation and increases
commodity consumption. GKN supplies
components and systems that enhance the
efficiency of equipment used to fulfil this
growing demand.
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GKN: GROUP OVERVIEW
Delivering to our customers
Each of our four divisions is a market leader, outperforming
its markets, giving unrivalled expertise and experience in
delivering what our global customers need.
GKN Aerospace
A leading tier one supplier of aerostructures
and engine products and systems to the
global aerospace industry.
GKN Driveline
The leading tier one supplier of automotive
driveline systems and solutions to the world’s
leading vehicle manufacturers.
GKN Powder Metallurgy
The world’s largest manufacturer of sintered
components and a leading producer of
metal powder.
GKN Land Systems
A leading supplier of power management
products and services for agricultural,
construction, industrial and
mining equipment.
Sales: £2,226 million
Sales: £3,444 million
Sales: £916 million
Sales: £776 million
Employees: 12,350
Employees: 25,650
Employees: 6,900
Employees: 5,200
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GKN: GROUP OVERVIEW
GKN Aerospace
GKN Aerospace is a leading global tier one supplier of
airframe and engine structures, components, assemblies and
transparencies to a wide range of aircraft and engine prime
contractors and other tier one suppliers. It operates in three
main product areas: aerostructures, engine components and
sub-systems, and special products.
Sales by market
1 Commercial
2 Military
73%
27%
Sales by product type
1 Aerostructures
2 Engine components and sub-systems
3 Special products
£1,045m
£1,042m
£139m
3
2
1
1
2
Sales
£2,226 million
Products
• Integrated aerostructures, including wing/
empennage and flight control surface
assemblies and fuselage structures.
• Fixed and rotating propulsion products
for aircraft engines, fan cases, engine
components, exhaust systems and nacelles.
• Transparencies including specially coated
cockpit and cabin windows.
Employees
12,350
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• Niche products such as ice protection, fuel
systems and flotation devices.
Key strategic activities
• Exploiting its strong positions on existing
programmes for new aircraft platforms, and
pursuing long term contracts on selective
high-growth and long-running platforms.
• Deploying new technologies for future
commercial and military aircraft, to improve
fuel efficiency, reduce emissions and
minimise the environmental impact of
aviation.
• Expanding into adjacent markets with similar
product technologies and manufacturing
capabilities; and expanding our global
footprint.
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GKN: GROUP OVERVIEW
GKN Driveline
As a global business serving the world’s leading vehicle
manufacturers, GKN Driveline develops, builds and supplies
an extensive range of automotive driveline products and
systems, for use in everything from the most sophisticated
premium vehicles, that demand complex driving dynamics,
to the smallest ultra low-cost cars.
Sales by product group
1 CVJ Systems
2 AWD and eDrive Systems
3 Other
£2,075m
£1,337m
£32m
Sales by region of origin
1 Europe
2 North America
3 Japan
4 South America
5 China
6 India
7 Other
£1,312m
£1,079m
£298m
£147m
£380m
£81m
£147m
3
6 7
5
1
2
1
4
3
2
Sales
£3,444 million
Products
• Constant velocity jointed systems including
CV joints and sideshafts.
• All-wheel drive (AWD) systems including
propshafts, couplings and final drive units.
• Trans-axle solutions including open, limited
slip and locking differentials and electronic
torque vectoring products.
Key strategic activities
• Providing innovative driveline systems and
solutions, supporting developing market
trends for more fuel-efficient vehicles.
• Increasing business in high growth regions.
• Serving the needs of strategic customers
through a market leading global footprint.
• eDrive systems including electric rear axles,
transmissions and motors.
Employees
25,650
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GKN: GROUP OVERVIEW
GKN Powder Metallurgy
GKN Powder Metallurgy comprises GKN Sinter Metals
and Hoeganaes. GKN Sinter Metals is the world’s leading
manufacturer of precision automotive components as well
as components for industrial and consumer applications.
Hoeganaes is one of the world’s largest manufacturers
of metal powder, the essential raw material for powder
metallurgy.
Sinter metals sales by region of origin
1 Hoeganaes
2 GKN Sinter Metals – Americas
3 GKN Sinter Metals – Europe
4G
KN Sinter Metals – Rest of world
£148m
£373m
£322m
£73m
4
Sales by product type
1 Sintered Components – automotive
2 Sintered Components – industrial
3 Hoeganaes – metal powder
£661m
£107m
£148m
3
1
1
2
3
2
Sales
£916 million
Products
• Sintered components for engines and
transmissions, as well as pumps, bodies
and chassis, and compressors.
• Sintered bearings and filters.
• Metal injection moulded components.
• Metal powders.
• Soft magnetic components for use in electric
motors.
Employees
6,900
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Key strategic activities
• Developing ‘Design for Powder Metallurgy’
applications to meet the rapidly developing
requirements for high efficiency engines,
advanced transmission applications, weight
reduction and evolving emissions standards.
• Expanding the business in high-growth
markets, supporting customers globally.
• Enhancing performance of metal powders.
• Sintered components for numerous
industrial applications.
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GKN: GROUP OVERVIEW
GKN Land Systems
GKN Land Systems is a leading supplier of power
management products and services. It designs, manufactures
and supplies products and services for the agricultural,
construction, mining and utility vehicle markets and key
industrial segments, offering integrated powertrain solutions
and complete in-service support.
Sales by region
1 Europe
2 Americas
3 Rest of World
£591m
£158m
£27m
Sales by market
1 Agriculture
2 Automotive
3 Industrial
4 Construction & mining
£349m
£139m
£179m
£109m
3
2
4
1
1
3
2
Sales
£776 million
Products
• Electro-mechanical power management
devices such as electromagnetic brakes,
flexible couplings, clutches, driveshafts and
gear technology.
• Hybrid power systems for highly cost
effective energy recovery, ideally suited to
start-stop vehicles such as buses and trams.
• Sensors, actuators and controls.
Employees
5,200
• Custom-designed wheels for arduous
applications in all terrains.
• Advanced structures and chassis systems for
a variety of vehicle types.
Key strategic activities
• L eading in high technology power
management solutions to the world’s
original equipment manufacturers.
•D
eploying new technologies to advance
the penetration of our electro-mechanical
products and systems.
•P
ositioning our strong brands outside our
traditional home markets into new and
emerging growth markets.
•P
roviding better customer solutions based
on a detailed understanding of their needs
and future strategies.
• Aftermarket parts and remanufacturing
for passenger cars, commercial trucks,
agricultural and construction vehicles, and
industry applications.
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GKN: GROUP OVERVIEW
GKN Contacts
General enquiries: enquiries@gkn.com
Investor Relations: ir@gkn.com
Media: media@gkn.com
Corporate Social Responsibility: cr@gkn.com
Careers: careers@gkn.com
Company Secretary: company.secretarial@gkn.com
Registered head office
GKN plc
PO Box 55
Ipsley House
Ipsley Church Lane
Redditch
Worcestershire B98 0TL
Tel +44 (0)1527 517715
Fax +44(0)1527 517700
www.gkn.com
Follow us on Twitter… @GKN_plc
Connect with us on Linked in
Registered in England No. 4191106
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