Seoul: Hyundai Motor Co, South Korea’s top automaker, said on Thursday its quarterly profit more than tripled to a record high, beating market expectations, fueled by higher sales on government incentives and a lack of strike activity.
Hyundai, the world’s No.4 car maker along with its affiliate Kia Motors Corp based on first half sales, reported a net profit of 979.1 billion won ($832.2 million) in the third quarter, well above a 616.3 billion won forecast by 11 analysts in a Reuters poll.
That compared with a 264.8 billion won net profit a year earlier and a 811.9 billion won profit in the second quarter of this year.
The maker of the Elantra compact car posted a 586.8 billion won operating profit in the July-September period, beating a forecast for a 561.2 billion won profit.
Hyundai is expected to keep outpacing its rivals with a growing reputation for low-cost and high-quality vehicles and new models, analysts said.
Still, its outlook is growing gloomier with a rising won and as global governments phase out measures to boost car demand, they added.
Reflecting the concerns, shares in Hyundai have fallen 7.2% so far this quarter, underperforming a 1.2% loss in the wider market, although Hyundai shares have more than doubled so far this year.