Hyundai Motor Announces 2014 3Q Business Results
- Hyundai Motor sold 3.62 million units worldwide through 2014 third quarter
- Sales revenue and net profit stand at 65.68 trillion won and 5.99 trillion won, respectively
October 23, 2014 – Hyundai Motor Company, South Korea’s largest automaker, today announced its 2014 third-quarter business results, which show that the company posted an increase in sales due to its strong presence in global markets and the launch of its game-changing models this year, including the all-new Genesis and Sonata.
For the first nine months of 2014, sales revenue increased 0.5 percent to 65.68 trillion won (auto: 53.33 trillion / finance and others: 12.35 trillion) from a year earlier. Hyundai Motor sold an accumulated 3,624,837 units globally (Korea: 501,184 / overseas: 3,123,653) as of the end of September this year, a 3.6 percent increase from a year earlier. In Korea, Hyundai Motor’s sales went up 4.7 percent, mainly due to strong sales of new models and SUV models, while its overseas sales rose 3.4 percent from the same period a year ago.
However, operating profit and net profit fell 9.7 percent and 12.7 percent to 5.67 trillion won and 5.99 trillion won (including non-controlling interest), respectively, due to the strong won against the U.S. dollar.
In the third quarter alone, sales revenue increased 2.2 percent to 21.28 trillion won (auto: 17.14 trillion / finance and others: 4.14 trillion) with global sales of 1,128,999 units. However, both operating profit and net profit declined 18.0 percent and 28.3 percent to 1.65 trillion won and 1.62 trillion won, respectively, from a year earlier because of fewer working days at its domestic plants and the Korean won’s strongest rate against the U.S. dollar since the second quarter of 2008.
While the global auto industry continues to face uncertainties, Hyundai Motor will keep focusing on reinforcing fundamentals for future growth by further strengthening its quality management as well as enhancing its brand power.
Hyundai Motor’s efforts on quality management have been proven by a variety of third-party agencies. For instance, the company’s all-new Genesis and Sonata were rated as one of the safest cars on the road by the Insurance Institute for Highway Safety’s (IIHS) crash tests in the U.S.
In terms of brand management efforts, Hyundai Motor’s brand value surged 15.6 percent from a year earlier to $10.4 billion, achieving its highest-ever ranking of No. 40 in brand consultancy Interbrand’s 2014 Best 100 Global Brands.
In addition, Hyundai Motor will stay focused on introducing new models at the right times. While the all-new Genesis and Sonata are still in the process of launching in key markets, the company is also pushing forward on the launch of its regionally-strategic models such as Aslan, ix25 and i20.
Overall, Hyundai Motor forecasts that its fourth-quarter performance will improve compared to the recent quarter based on several positive factors such as the weakening of the Korean won against the U.S. dollar, new model launches and stabilized operation at its Korean plants.
Cautionary Statement with Respect to Forward-Looking Statements
In this release and in related comments by Hyundai Motor’s management, our use of the word “expect,” “anticipate,” “project,” “estimate,” “forecast,” “objective,” “plan,” “goal,” “outlook,” “target,” “pursue” and similar expressions is intended to identify forward looking statements.
The financial data discussed herein are presented on a preliminary basis before the audit from Independent Auditor; final data will be included in HMC’s Independent Auditors report. While these statements represent our current judgment on what the future may hold, and we believe these judgments are reasonable, actual results may differ materially due to numerous important factors. Such factors include, among others, the following : change in economic conditions, currency exchange rates or political stability; shortages of fuel, labor strikes or work stoppages; market acceptance of the corporation’s new products; significant changes in the competitive environment; changes in laws, regulations and tax rates; and the ability of the corporation to achieve reductions in cost and employment levels to realize production efficiencies and implement capital expenditures at levels and time planned by management.
We do not intend or assume any obligation to update any forward-looking statement, which speaks only as of the date on which it is made.
About Hyundai Motor
Established in 1967, Hyundai Motor Company is committed to becoming a lifetime partner in automobiles and beyond. The company, which leads the Hyundai Motor Group, an innovative business structure capable of circulating resources from molten iron to finished cars, offers top-quality best-sellers such as Elantra, Sonata and Genesis. Hyundai Motor has eight manufacturing bases and seven design & technical centers worldwide and in 2013, sold 4.73 million vehicles globally. With almost 100,000 employees worldwide, Hyundai Motor continues to enhance its product line-up with localized models and strives to strengthen its leadership in clean technology, starting with the world’s first mass-produced hydrogen-powered vehicle, ix35 Fuel Cell.
More information about Hyundai Motor and its products can be found at:
http://worldwide.hyundai.com or http://www.hyundaiglobalnews.com