April 27, 2024
Automobiles
Hyundai Motor’s net profit plunges 67% in Q3
Net profit for the three months that ended on Sept. 30 fell to 305.95 billion won (US$269 million) from 939.18 billion won a year earlier, the company said in a statement.
 |
“The quarterly bottom line reflected about 500 billion won worth of one-off costs involving air bag and engine-related recalls in the United States and other safety reinforcement efforts,” Hyundai Motor Executive Vice President Choi Byung-chul said on a conference call after the earnings’ release.
Sales in the US and China remain weak in the third quarter. The won’s strength against currencies in emerging markets also weighed on the quarterly results, Choi said.
To boost sales in the fourth quarter, Hyundai said it will put a bigger focus on promoting its SUV lineup, which is composed of the all-new Santa Fe, the Kona subcompact and the facelifted Tucson in global markets.
The latest tally, in addition, showed the carmaker‘s operating profit nosediving 76 percent to 288.93 billion won in the third quarter from 1.204 trillion won a year ago. Sales rose 1 percent to 24.433 trillion won from 24.201 trillion won during the same period.
In the January-September period, net profit fell 43 percent to 1.848 trillion won from 3.259 trillion won a year ago. Operating profit declined 49 percent to 1.921 trillion won from 3.799 trillion won during the cited period. Sales fell 0.4 percent to 71.582 trillion won from 71.875 trillion won.
By Song Seung-hyun and newswires (ssh@heraldcorp.com)
