Hyundai Glovis Navigates Logistics, Shipping, and Distribution Smoothly... 3Q Operating Profit Up 22% YoY

Achieving Sales of 7.5 Trillion KRW and Operating Profit of 470 Billion KRW

In the third quarter of this year, Hyundai Glovis saw both its sales and operating profit grow by around 20% compared to the previous year. This is evaluated as a result of strengthening fundamentals across all businesses, including logistics, shipping, and distribution, despite the global economic downturn.

On the 31st, Hyundai Glovis announced that its consolidated sales for the third quarter reached KRW 7.4687 trillion, with an operating profit of KRW 469 billion. These figures represent increases of 18.0% and 22.1%, respectively, compared to the same period last year. Net profit for the period rose by 55.9% to KRW 383.6 billion.

By business segment, the logistics sector recorded sales of KRW 2.5826 trillion and an operating profit of KRW 211.1 billion. This was influenced by increased transportation volumes for parts export/import and after-sales service (AS), as well as growth in inland transportation of overseas finished vehicles, despite a decline in domestic automobile production and sales volumes.

The shipping business achieved sales of KRW 1.3289 trillion and an operating profit of KRW 108.3 billion. This was driven by the effect of adjusting car carrier freight rates on certain routes and the commencement of operations of gas carriers and tankers based on long-term contracts.

The distribution segment posted sales of KRW 3.5572 trillion and an operating profit of KRW 149.6 billion. Favorable exchange rate conditions and increased KD (knock-down, semi-assembled parts) volumes for overseas factories contributed to the strong performance.

A Hyundai Glovis official explained the background of the results, stating, "Despite high domestic and international uncertainties such as the global economic downturn and rising geopolitical risks, our focus on securing profitability across logistics, shipping, and distribution businesses through solid management has been key."

Given this trend, Hyundai Glovis expects to fully achieve its initially set annual performance targets. The performance forecast announced at the beginning of the year projected sales of KRW 26 trillion to 27 trillion and operating profit of KRW 1.6 trillion to 1.7 trillion. Currently, cumulative sales for the first three quarters stand at KRW 21.1 trillion, with an operating profit of KRW 1.29 trillion.

Meanwhile, on the same day, Hyundai Glovis disclosed its "Value-up Plan" and decided to adopt Total Shareholder Return (TSR) as a core indicator. TSR is a figure that converts the total value shareholders gain (dividends and stock price) over a certain period of holding shares into a ratio relative to market capitalization.

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