Hyundai Construction Equipment Reports Q1 Operating Profit of 79.7 Billion KRW... Highest Quarterly Record

Photo by Hyundai Construction Equipment

[Asia Economy Reporter Choi Dae-yeol] Hyundai Construction Equipment announced on the 28th that its operating profit in the first quarter reached 79.7 billion KRW, a 645% increase compared to the same period last year. This is the highest quarterly figure since the company was established in 2017.

Sales amounted to 964.9 billion KRW, up 52% year-on-year, and net profit reached 59.4 billion KRW, a 4850% increase. Previously, the company recorded sales of 930.5 billion KRW in the first quarter of 2018 and an operating profit of 75.2 billion KRW in the second quarter of the same year, but this year set a new record. The company explained, "Due to rising raw material costs and economic stimulus measures in various countries, sales volume increased significantly in emerging markets including China and India."

In the first quarter of this year, 3,179 excavators were sold in China, more than double the amount sold in the same period last year. Anticipating increased demand, the company launched 13 new products in early March and strengthened its sales network by expanding its dealer base.

In India, an additional branch was established in Ahmedabad, Gujarat state, in January. Through locally tailored sales strategies such as fuel efficiency improvement models, 1,549 excavators were sold, an increase of about 40% compared to a year earlier. Additionally, the company reported that sales volume increased overall as demand for construction equipment grew in major markets such as North America and Europe.

Gong Gi-young, President of Hyundai Construction Equipment, stated, "With expectations for economic recovery following COVID-19 vaccinations and the full-scale investment by various countries, demand is expected to increase not only in China and India but also in European and North American markets. We will continue to achieve solid performance through sales strategies tailored to each country's characteristics, expanding product lineups, and developing eco-friendly technologies."

This content was produced with the assistance of AI translation services.