ZCZC
BCN-30
SKOREA-ECONOMY-AUTOMOBILE-HYUNDAI-LEAD
Hyundai Motor sees first quarterly loss in eight years
SEOUL, Jan 24, 2019 (AFP) – South Korea’s largest automaker Hyundai Motor
reported its first quarterly loss in eight years on Thursday, with currency
swings sending it $180 million into the red in October-December despite
improved sales.
Operating profit fell 35 percent from a year earlier to 501 billion won
($443 million), the firm said in a statement, and it made a net loss of 203
billion won.
“Due to weakened currency in emerging markets coupled with other external
factors… profitability fell in 2018 compared to the previous year,” said
Hyundai, which together with its subsidiary Kia is the world’s fifth-largest
automaker.
The company sold 1.23 million cars worldwide in the fourth quarter, up 0.6
percent from the same period a year earlier, mainly due to rising demand from
Europe and key emerging markets including Brazil and Russia.
It forecast business conditions to remain grim in 2019 owing to an ongoing
trade war between Washington and Beijing and slowing growth in China — once
a major market for the carmaker.
“We will focus on the early normalisation of business in key markets
including the US and China, while bolstering our response to emerging markets
like India and the ASEAN countries,” it said.
Shares in the firm closed up 0.78 percent.
For all of 2018, Hyundai saw net profit tumble 63.8 percent on-year to 1.6
trillion won, while operating profit sank 47 percent to 2.4 trillion won.
BSS/AFP/HR/1425