Hyundai, Kia may log sharp rebound in Q2
Auto majors likely to post operating profits of 1.86 trn won ($1.6 bn) and 1.34 trn won, respectively, for the quarter ended June 30
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Hyundai Motor and its affiliate Kia are set to report a sharp rebound in operating profit for the second quarter on strong demand for their vehicles that offset output disruptions by semiconductor shortages, analysts said on Tuesday.
Hyundai and Kia, which together form the world's fifth-biggest carmaker by sales, are expected to have posted operating profits of 1.86 trillion won ($1.6 billion) and 1.34 trillion won, respectively, for the quarter ended June 30, according to a median forecast of local brokerages. In the year-ago quarter, Hyundai's and Kia's operating profits more than halved to 590 billion won and 145 billion won, respectively, as the coronavirus outbreak drove down global vehicle demand.
Hyundai and Kia are forecast to report sales of 29.06 trillion won and 17.75 trillion won, respectively, in the second quarter, up from 21.86 trillion won and 11.37 trillion won a year earlier, reports Yonhap news agency. Behind the carmakers' quarterly earnings rebound are robust sales of their high-end vehicles in the domestic and the world's most important U.S. markets among others, analysts said.
