Hyundai Motor Reports 2012 First Half Earnings

Hyundai Motor Company, South Korea’s largest automaker, sold 2,182,768 units (domestic: 327,963 / overseas: 1,854,805) worldwide in the first     six months of 2012, up 11.5 percent comparing to the first half of last year.

Hyundai Motor’s robust sales in overseas markets, based on its world-class quality and strong product competitiveness, led strong earnings in spite of sluggish global demand: Net profit rose 19.5 percent to 4.998 trillion won (including non-controlling interest) in the first half from a year earlier. Hyundai Motor’s operating profit stood at 4.785 trillion won on sales revenues of 42.105 trillion won (Auto business: 36.323 trillion / Finance and others: 5.782 trillion). Sales revenues increased 9.9 percent due to a rise in sales volume and improved product mix.

While sales in the Korean domestic market decreased 4.6 percent to 327,963 units because of falling consumer confidence, overseas sales rose 14.9% to 1,854,805 units (export: 663,637 / overseas plants: 1,191,168) comparing to the first half of 2011.

Thanks to growing popularity outside Korea, Hyundai Motor maintained sales momentum for the first half of 2012, while enhanced brand values and rising average selling price helped improve profitability as well. Even in shrinking markets such as Europe, Hyundai bucked the trend with successful launches of local strategic models.

Hyundai Motor foresees that business uncertainty surrounding the auto industry will increase in the second half. To deal with difficulties such as the European financial crisis and slowing demands in emerging markets, Hyundai Motor will focus more on qualitative growth, raising profitability based on brand enhancement through introducing new models of high quality and improving customer services.

The company will also accelerate the development of its eco-friendly car line up, including electric vehicles, hybrid cars, fuel cell electric vehicles as well as conventional vehicles with high fuel efficiency and low emissions, establishing solid ground for growth.

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