Hyundai Motor Company announced business results for the first quarter of 2019, reporting a 6.9 percent, 21 percent increase in sales revenue and operating profit respectively, in spite of continued slowdown in global economic growth.
The year on year gain in revenue is primarily attributable to the enhancement in overall product mix as well as strong SUV sales led by the Palisade and Santa Fe. Hyundai Motor posted revenue of KRW 23.99 trillion in the first quarter, compared to KRW 22.44 trillion in the same period last year.
Global vehicle sales totalled 1.02 million units, compared with 1.05 million units in the same period in 2018. Excluding China, Hyundai’s global sales volume rose 0.4 percent from a year earlier to 887,489 units.
Total sales in the Korean market amounted to 183,957 units in the quarter, increasing 8.7 percent year on year, led by strong sales of new SUV models such as the Palisade and the Genesis brand’s flagship G90 sedan.
The company reported an operating profit of KRW 824.9 billion for the January-March period, which is 21 percent more than KRW 681.3 billion from a year earlier. The surge was driven by increased facility utilization rates of production plants in Korea and the U.S., coupled with solid demand for SUV models in major markets.
First-quarter net profit (including minority interest) totalled KRW 953.8 billion, versus KRW 731.6 billion a year earlier.
Hyundai Motor plans to tackle business uncertainties caused by the sluggish global economic growth, by strengthening its model line-up with new models in Korea and other major markets. Hyundai’s all-new entry SUV ‘Venue’ and Genesis brand’s first ever SUV model both await global rollouts in the second half of this year.
Early recovery of market share in the U.S. and China will be another area of focus for the company for the remainder of this year, while efforts to enhance sales in India and ASEAN markets will also continue.
The company will further streamline production, sales and other capabilities in its regional headquarters in an aim to better customize products and services to each market’s needs, while prioritizing customer value and engaging in proactive communication with markets.
SOURCE: Hyundai
