April 17, 2024

• 

[THE INVESTOR] Hyundai Mobis said on Jan. 25 its net profit plunged 48 percent last year on a strong won and decreased sales in China.

For all of 2017, net profit fell to 1.579 trillion won (US$1.50 billion) from 3.047 trillion won a year earlier, the company said in a statement.

“The annual net profit was affected by increased fixed costs, which resulted from lower demand from China, the won’s strength against the dollar and the yuan and production losses resulting from strikes at the company’s captive buyers, such as Hyundai Motor and Kia Motors,” a company spokesman said.

Hyundai Mobis earns about 90 percent of its overall sales by supplying auto parts to the country’s two biggest carmakers.

Operating profit declined 30 percent on-year to 2.038 trillion won last year from 2.905 trillion won. Sales fell 8.1 percent to 35.145 trillion won from 38.262 trillion won during the same period, the statement said.

By Song Seung-hyun and newswires (ssh@heraldcorp.com)