Alexa
  • Directory of Taiwan

Hyundai Motor 1st quarter net profit falls 10.2 percent amid labor strikes, strong won

Hyundai Motor 1st quarter net profit falls 10.2 percent amid labor strikes, strong won

Hyundai Motor Co. said Wednesday first quarter net profit declined 10.2 percent as sales fell amid partial labor strikes early this year and a strong South Korean won.
Hyundai Motor, the world's sixth-largest automaker, earned 307.4 billion won (US$329.22 million; euro242.53 million) in the three months ended March 31, down from 342.39 billion won a year earlier, the statement said. That figure was revised up from the initial 318.83 billion won reported last year.
Quarterly sales declined 2.6 percent to 6.684 trillion won (US$7.16 billion; euro5.27 billion).
The result was worse than expected. The average estimate of 11 analysts surveyed by Dow Jones Newswires forecast that Hyundai would post a net profit of 392.70 billion won (US$421 million; euro310 million).
The strikes, in which Hyundai's unionized workers asked for full payment of 1.5 months' worth of year-end bonuses for 2006, cost the carmaker 266.8 billion won (US$286 million; euro211 million) or 18,513 vehicles, in production losses, the company said. The strikes lasted for 13 days.


Updated : 2021-05-13 12:12 GMT+08:00