April 26, 2016 – Hyundai Motor Company, South Korea’s largest automaker, today announced its 2016 1Q business results. Sales volume and operating profit decreased whilst sales revenue increased from the same period last year, mainly due to slowing plant operations that increased fixed costs ratios, and weak cross currencies against KRW in emerging markets such as Russia and Brazil.
Forecast
Hyundai Motor forecasts sales increase in 2Q despite sluggish economy in emerging markets such as Russia and Brazil as markets including the U.S. and China will post strong sales with the All-new Elantra and SUV models.
In addition, Hyundai Motor will continue its efforts in establishing sustainable growth with RD investment to develop autonomous driving technology and connected-car development as well as securing eco-friendly technology leadership.Hyundai Motor aims to sell a total of 5.01 million vehicles globally (Korea: 693,000 / overseas: 4,317,000) in 2016. It plans to achieve its goal with SUVs including Creta and Tucson and new models like All-new Elantra. In addition, Hyundai Motor will further develop state-of-the-art technologies within new models such as the IONIQ which is offered in three eco-friendly powertrain (HEV, PHEV, EV) and luxury brand GENESIS G90 large luxury sedan.
Hyundai Motor will continue strengthening its cooperation with suppliers and actively carry out Corporate Social Responsibilities to create more values to customers and stakeholders alike. Hyundai Motor also strives to build a more shareholder-friendly environment by increasing transparency and shareholder returns through establishing corporate governance charter.
Cautionary Statement with Respect to Forward-Looking Statements
In this release and in related comments by Hyundai Motor’s management, our use of the word “expect,” “anticipate,” “project,” “estimate,” “forecast,” “objective,” “plan,” “goal,” “outlook,” “target,” “pursue” and similar expressions is intended to identify forward looking statements.
The financial data discussed herein are presented on a preliminary basis before the audit from Independent Auditor; final data will be included in HMC’s Independent Auditors report. While these statements represent our current judgment on what the future may hold, and we believe these judgments are reasonable, actual results may differ materially due to numerous important factors. Such factors include, among others, the following : change in economic conditions, currency exchange rates or political stability; shortages of fuel, labor strikes or work stoppages; market acceptance of the corporation’s new products; significant changes in the competitive environment; changes in laws, regulations and tax rates; and the ability of the corporation to achieve reductions in cost and employment levels to realize production efficiencies and implement capital expenditures at levels and time planned by management.
We do not intend or assume any obligation to update any forward-looking statement, which speaks only as of the date on which it is made.