Hyundai Wia Q3 Operating Profit 55.7 Billion KRW... "Component Sales Expand Due to Semiconductor Supply Easing"

[Asia Economy Reporter Yoo Hyun-seok] Hyundai Wia announced on the 28th that its provisional consolidated operating profit for the third quarter of this year reached 55.7 billion KRW, a 78.6% increase compared to the same period last year. During the same period, sales increased by 17.5% to 2.0803 trillion KRW, while net loss turned to a deficit of 10.6 billion KRW, according to provisional estimates.

By segment, automotive parts recorded sales of 1.8952 trillion KRW and operating profit of 54.4 billion KRW, up 20.2% and 40.6% respectively compared to the same period last year. The machinery division posted sales of 185.1 billion KRW and operating profit of 1.3 billion KRW, with sales down 4% year-on-year but operating profit turning positive.

Domestic and overseas vehicle sales showed a steady trend as semiconductor supply conditions improved, leading to expanded parts sales. Additionally, sales of the high value-added 4-wheel drive (4WD) system continued to perform well, and operating profit increased due to foreign exchange gains from a high exchange rate.

The machinery division focused on profitability improvement in its operations. By implementing appropriate pricing for general-purpose machines, it succeeded in turning a profit. However, net income turned to a loss due to the reflection of translation losses from the Russian subsidiary.

Hyundai Wia expects positive performance in the fourth quarter. A company official explained, "Sales of drivetrain parts such as 4WD continue to perform well, and semiconductor supply is also showing a relaxation trend, so automotive parts sales are expected to continue." He added, "The machinery division is also expected to continue improving profitability, focusing on high-performance machine tools and smart factory sectors."

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