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New Models and Product Competitiveness Boost Hyundai in 3rd Quarter

Hyundai Motor released its 2011 third quarter earnings at the end of October, reporting worldwide sales in the first nine months of the year of 2.95 million vehicles (510,228 units domestic/ 2,439,686 units overseas), a 10.5% increase on the same period of 2010. The strong performance stemmed from the launch of new models, such as the Accent (Verna), Grandeur (Azera), Veloster and i40, along with strengthened product competitiveness across its entire lineup.

Sales revenues and net profit came in at 57.3 trillion KRW and 6.1 trillion KRW respectively as of the end of September 2011, while operating profit gained 27.1% to 5.95 trillion KRW. The increases in both revenues and profits primarily derived from double-digit growth in overseas sales.

Figures announced by Hyundai on November 1 for sales volume in the month of  October 2011 show despite a 6.0% drop in total sales at home in Korea, overseas sales climbed 18.3% to lift global volume 13.6% year-on-year to 364,809 units.

The European financial crisis and slower growth in emerging markets is expected to see global demand in the remainder of the year come in lower than the auto industry’s original forecast earlier this year, however, to overcome these hurdles, Hyundai endeavors to strengthen its focus on qualitative growth and implementing innovative marketing strategies, such as it had success with in the US in 2009 following the turmoil of the global financial crisis. Hyundai will also accelerate its efforts to develop more fuel-efficient and eco-friendly models.

The chief executive of Hyundai Motor offered a bullish sales outlook in September or Europe next year, saying the South Korean automaker may be able to boost its sales by a quarter to 500,000 vehicles in 2012.

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MotorDrive Asia

Keep up to date with the latest Asia-related automotive industry news, trends, topics and insight. From the makers of fine luxury cars through to the essential parts makers, MotorDrive Asia reports on the industry in Japan, China, Korea, Taiwan, Thailand, Indonesia, India, Malaysia, Pakistan, the Philippines, Vietnam, Sri Lanka, Singapore, to name a few. Keep linked here. Comments most welcome.

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