The FINANCIAL — Hyundai Motor Company announced its 2017 first-half business results on July 26 in Seoul, reporting a 1.4 percent year-on-year increase in sales revenue.
In the first half of 2017, Hyundai Motor’s global sales totalled 2.20 million units compared to 2.39 million units in the same period last year amid weak sales in China.
Excluding China, the company’s global sales in the first six months increased 1.5 percent from a year earlier to 1.88 million units, according to Hyundai.
Operating profit totalled KRW 2.60 trillion, a 16.4 percent decline from KRW 3.10 trillion in the same period in 2016 and net profit declined to KRW 2.32 trillion compared with KRW 3.53 trillion a year earlier. Increased spending in marketing activities to promote new models as well as appreciation of the Korean won impacted the company’s overall profitability.
While uncertainty in business environment is likely to continue for the time being, Hyundai Motor will continue to strive to strengthen its competitiveness in the global market by enhancing product line-up and strengthen R&D capabilities.
Hyundai plans to increase supply of SUV models to meet the growing demand worldwide. The company will introduce the new compact SUV Kona in Europe and in the U.S. in the second half, following a debut in Korea market last month.
Also, the GENESIS brand is due to launch its third model G70 sedan in the second half to cement presence in the global luxury vehicle market. The new model will not only help nurture brand perception but also support company’s profitability.
In the second quarter ended June, Hyundai posted an operating profit of KRW 1.34 trillion on revenue of KRW 24.30 trillion. Net profit totalled KRW 0.91 trillion.
Hyundai Motor will continuously invest in R&D with focus on three core future technologies — Clean Mobility, Freedom in Mobility and Connected Mobility — to ensure future growth.
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