SEOUL, Oct. 26 (Yonhap) — Hyundai Motor Co., South Korea’s leading automobile manufacturer, reported a significant increase in its third-quarter net income Thursday, due to a growth in global sales.
Consolidated net profit for the July-September period rose to 3.3 trillion won (US$2.4 billion), up 134 percent from the same period the previous year, according to a regulatory filing.
Revenue for the quarter also increased 8.7 percent year-on-year to 41 trillion won, while operating profit jumped 146.3 percent to 3.82 trillion won. These figures exceeded market expectations.
Hyundai revealed that it sold 1,045,510 vehicles during the third quarter, a 2 percent rise from the same period in 2019. Sales of eco-friendly vehicles, such as the Ioniq brand, surged 33.3 percent, while the rate of hybrid vehicles among all cars sold increased to 8.6 percent.
The company’s luxury brand Genesis also saw a 5.1 percent rate in all cars sold, up from 4.9 percent in the previous year. SUVs accounted for 54.7 percent of all cars sold, excluding Genesis models, and 57.8 percent when counting Genesis SUV units.
Hyundai noted potential challenges, such as tensions in the Middle East, inflationary pressures, and a possible reduction in demand in emerging economies due to high interest rates.
The company plans to focus on raising the global recognition of its Ioniq brand and increasing sales of its eco-friendly vehicles, as well as improving the product mix of its premium models by introducing the updated Genesis GV80 model and a GV80 coupe model.
Despite the news of improved earnings, shares in Hyundai Motor closed 1.37 percent lower at 179,500 won on the Seoul bourse Thursday.