Hyundai posted a surprise 48% jump in quarterly net profit to a record high as a weaker won helped offshore sales and government measures boosted local demand, helping it outperform global rivals, reports Reuters.
Hyundai and its affiliate Kia are expected to continue to draw support from a weak currency, increased appetite for smaller cars and an improving brand image, analysts said.
Renewed hopes for a recovery in the global economy and new models will keep Hyundai and Kia, together the world's No.5 car maker, ahead of competitors such as Toyota, they added.
Market reaction was muted as a stellar quarterly performance had already been priced in, but analysts were generally upbeat about the company's second half.
Hyundai posted a net profit of 811.9 billion won (£394.3 million) in the second quarter, soundly beating a 456 billion won forecast by 10 analysts in a Reuters poll.
That compared with a 546.9 billion won net profit a year earlier and a 225 billion won profit posted in the first three months of the year.
Contributions from overseas affiliates, especially in China and India, contributed to the strong numbers, Hyundai said.
Its operating profit during the quarter ended on June 30 was 657.3 billion won, well above a forecast for a 496.5 billion won profit. The company's operating profit margin stood at 8 percent, its highest level in 5 years, it said.
Login to comment
Comments
No comments have been made yet.