Hyundai Doosan Infracore Q3 Operating Profit 74.7 Billion KRW... 122% Increase

Sales of 1.1769 trillion KRW, Operating Profit of 74.7 billion KRW
Increased by 21% and 122% respectively compared to the same period last year

[Asia Economy Reporter Park Sun-mi] Hyundai Doosan Infracore announced a 122% increase in operating profit for the third quarter compared to the same period last year.

On the 25th, Hyundai Doosan Infracore disclosed through a public announcement that its sales for the third quarter of 2022 reached 1.1769 trillion KRW, with an operating profit of 74.7 billion KRW. Sales increased by 21% compared to the same period last year, while operating profit rose by 122%.

Sales increased as growth in emerging and advanced (North American, European) markets outweighed the decline in the Chinese market. Sales in emerging markets rose 21% year-on-year due to revitalized infrastructure investment driven by rising raw material prices, while sales in advanced markets increased by 20.3% thanks to favorable economic conditions, strengthened sales channels, and the launch of various new products such as compact excavators and Compact Wheel Loaders (CWL).

On the other hand, sales in the Chinese market decreased by 9.9% due to concerns over economic downturn and regional lockdowns caused by the spread of COVID-19.

Operating profit also showed a significant increase of 122% year-on-year as deferred demand from logistics issues in the first half materialized, improving profitability in emerging and advanced markets. The engine business maintained a double-digit operating profit margin, contributing to the strong growth.

The engine division also saw a sharp increase in demand for engines used in generators and industrial small equipment, resulting in sales of 298.4 billion KRW, up 39.3% from the previous year, and operating profit of 38.9 billion KRW, demonstrating solid earnings. In particular, after-market (A/S) sales expanded due to increased product sales, achieving a double-digit operating profit margin of 13%.

A Hyundai Doosan Infracore official stated, “Despite the unstable international business environment, we have secured large-scale orders mainly from resource-rich countries in Southeast Asia, the Middle East, and Latin America,” adding, “We will focus on gradually expanding market share in these regions while concentrating on sales of large models to enhance profitability.”

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