Hyundai Motor Q1 profit surges on favourable currency rates

  div classBodysc17zpet90 cdBBJodivpBy Heekyong Yang and Joyce Leep

  pSEOUL Reuters Hyundai Motor Co on Monday posted a 19 rise in firstquarter profit as favourable exchange rates offset a jump in raw material costs and a drop in sales caused by the prolonged global chip shortage.pdivdivdiv classBodysc17zpet90 cdBBJodiv

  pNet profit climbed to 1.6 trillion won 1.28 billion for the JanuaryMarch period.p

  pThat compares with 1.3 trillion won a year earlier and a Refinitiv SmartEstimate of 1.4 trillion won profit drawn from 15 analysts.p

  p“Robust sales of SUV and Genesis luxury models, declining incentives, and a favorable foreign exchange environment helped lift revenue in the first quarter despite the slowdown in sales volume amid an adverse economic environment,” Hyundai said in a statement. p

  pThe South Korean won was nearly 7 weaker against the U.S. dollar in JanuaryMarch than the same period a year earlier, boosting the value of earnings garnered abroad.p

  pHyundais global vehicle sales, however, slid nearly 10 during the quarter, as the chip shortage slowed production. p

  pShares in the automaker was trading down 1.1 after the results compared with a 1.5 decline in the benchmark KOSPI. p

  pHyundai and affiliate Kia Corp together form the worlds fourthlargest automotive group by sales.p

  p1 1,249.1500 wonp

  p Reporting by Heekyong Yang and Joyce Lee Editing by Edwina Gibbsp

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