- 1Q revenue increased 8.2% Y/y to KRW 27.39 trillion
- 1Q global sales volume rose 10.7% Y/y to 1,000,281 units
- 1Q operating profit KRW 1.66 trillion; operating profit margin 6%
- 1Q net profit jumped 175.4% to KRW 1.52 trillion
- Hyundai Motor to maintain sales momentum with new lineups such as IONIQ 5
- Company to take steps to cope with unfavorable industry conditions including chip supplies and fluctuation in raw material costs
Hyundai Motor Company today announced its business results for the first quarter of 2021. The revenue increased 8.2 percent year-over-year to KRW 27.39 trillion.
The company sold 1,000,281 units around the globe in the January-March period, a 10.7 percent rise from a year earlier. Sales in markets outside of Korea increased by 9.5 percent to 814,868 units as industry demand remained weak in most markets around the world. Sales in Korea climbed 16.6 percent to 185,413 units, led by new models, including the all-new Tucson SUV. The G80 sedan and GV70 SUV of the Genesis luxury brand also helped boost sales.
Hyundai’s operating profit in the period rose 91.8 percent to KRW 1.66 trillion compared to KRW 863.8 billion in the first quarter of 2020, when COVID-19 pandemic began to hit profitability. Net profit including non-controlling interest increased to KRW 1.52 trillion from KRW 552.7 billion in the same period of last year.
Robust sales of SUV models and Genesis luxury models as well as increasing total sales volume helped lift revenue in the first quarter despite an adverse business environment and an unfavorable exchange rate. Sales recovery and market share expansion in the Americas, India, and China also contributed to higher revenue.
Hyundai Motor expects globally expanded economic stimulus plans to help boost auto demand but the prolonged COVID-19 pandemic, semiconductor chip supply condition, and raw material cost fluctuation will likely amplify business uncertainty.
The company plans to flexibly adjust its production in line with chip supply delays by preemptively securing its component inventory while looking for alternative chip parts to optimize production.
Hyundai will focus on enhancing its product mix with SUV and luxury models while improving profitability based on cost innovation to secure its competitiveness in the future mobility industry despite the tough business environment.
The company continues its endeavor to become the leader of electrification with its IONIQ 5, its first dedicated BEV, along with hybrid and plug-in hybrid models of Tucson SUV and Santa Fe SUV.