Hyundai Motor Reports 1st Quarter Earnings
(Seoul, Korea) Hyundai Motor Company, South Korea’s largest automaker, sold 842,037 units (domestic plants: 397,646 units, overseas plants: 444,391 units) worldwide in the first quarter, a 36.6 percent increase from a year earlier, helped by the launch of new models and strong demand in overseas markets.
Net profit increased almost fivefold to 1.13 trillion won, boosted by a surge in equity earnings from overseas subsidiaries such as China and India. Operating profit also rose to 702.7 billion won compared to 153.8 billion won a year earlier, while sales increased 39.6 percent to 8.4 trillion won.
Hyundai’s jump in first-quarter earnings can be attributed to the successful launch of its new models such as the all-new Sonata and Tucson ix (named Tucson/ix35 in other regions). Global auto demand, especially in emerging markets, is also showing signs of a recovery, boosting sales. Hyundai’s operating profit margin also rose to 8.3 percent from 2.5 percent during the same period a year earlier.
In spite of the uncertain business environment across the globe, Hyundai continues to raise brand awareness and expand market share in the U.S and European markets, based on quality improvements.
As seen from the all-new Sonata and Tucson ix, Hyundai has enhanced its design and product competitiveness. Hyundai will continue to introduce new models at the right time with differentiated marketing strategies, while expanding its sales network worldwide, to increase market share and competitiveness in advanced and emerging markets alike.
As part of its eco-friendly management strategy, Hyundai will also continue to expand its lineup of highly fuel-efficient and competitive cars, such as its first gasoline-hybrid vehicle, the Sonata Hybrid, which it launched last month in the U.S.
In preparation for uncertain factors lying ahead, such as rising oil and raw material prices and strengthening currency exchange rates, Hyundai will boost its market share by launching new models fit for each region and maximize profitability by cutting costs.
Visit http://worldwide.hyundai.com/company-overview/investor-relations.aspx for a detailed report on quarterly results.