This study analyzed design factors to maximize energy efficiency, via numerical analysis, through an examination of the characteristics of a heating system that uses permanent magnets and is employed for preheating in the aluminum cladding extrusion process. The design parameters of the billet heater using permanent magnets are the magnetic flux direction, the number of magnets, clearance, and eccentricity. The magnetic flux density, current density, power loss, temperature, and energy consumption characteristics were examined using the results of the parameter variations. Numerical analysis for the base model was conducted, and it was experimentally verified that the aluminum billet reached 450 °C in about 260 s, and the temperature error at that time was about 2%. The analysis results show that the optimal factor conditions vary significantly depending on the magnetic force direction of the permanent magnet, that is, the circumferential (tangential) and centrifugal (normal) directions. Furthermore, eccentricity has an effect on efficiency in general, and the narrower the clearance was between the magnet and billet, the higher the efficiency achieved. That is, it was confirmed that the power loss increased by about 1.79% in the four permanent magnets to the tangential model, and increased by about 10.51% in the 12 permanent magnets to the tangential model when an eccentricity of 2 mm was applied at a clearance of 2.5 mm. In addition, the optimal design parameters of a system that heats aluminum billets with a diameter of 60 mm and a length of 70 mm were proposed, and the importance of the design parameters was revealed. In this study, it was found that 12 magnets were the most effective when the magnetic flux pole direction was tangential.