Mexican Media Brands
Hyundai’s Profits Sag Again
Hyundai Motor Co.’s second-quarter net profit plunged 51% to 817 billion won ($730 million), its worst quarterly result since early 2012.
#economics
Share
Hyundai Motor Co.’s second-quarter net profit plunged 51% to 817 billion won ($730 million), its worst quarterly result since early 2012.
The company’s revenue declined 2% to 24.3 trillion won ($21.7 billion). Operating profit shrank 24% to 1.3 trillion won ($1.2 billion).
Second-quarter results were dragged down by a 64% drop in sales in China, where demand has been hurt by government opposition to South Korea’s deployment of a U.S.-supplied antimissile radar system.
Analysts say the company’s slow response to the global market shift from sedans to SUV/crossover vehicles also has eroded sales volume. The company notes it will add a new small crossover, the Kona, to its lineup in Europe and the U.S. later this year.
Hyundai’s vehicle deliveries through the first half of 2017 fell 8% to 2.20 million units. Analysts says the slump has challenged the company’s hopes of selling a record 5.08 million vehicles this year.
RELATED CONTENT
-
On Lincoln-Shinola, Euro EV Sales, Engineered Carbon, and more
On a Lincoln-Shinola concept, Euro EV sales, engineered carbon for fuel cells, a thermal sensor for ADAS, battery analytics, and measuring vehicle performance in use with big data
-
China and U.S. OEMs
When Ford announced its 3rd quarter earning on October 24, the official announcement said, in part, “Company revenue was up 3 percent year over year, with net income and company adjusted EBIT both down year over year, primarily driven by continued challenges in China.” The previous day, perhaps as a preemptive move to answer the question “If things are going poorly in China, what are you doing about it?, Ford announced that it was establishing Ford China as a stand-alone business unit.
-
On Global EV Sales, Lean and the Supply Chain & Dealing With Snow
The distribution of EVs and potential implications, why lean still matters even with supply chain issues, where there are the most industrial robots, a potential coming shortage that isn’t a microprocessor, mapping tech and obscured signs, and a look at the future