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Hyundai Motor cut its full-year sales and operating-margin targets Thursday as production disruptions weighed on third-quarter revenue, even as operating profit rose 5.5% from a year earlier.
The automaker reported operating profit of 2.68 trillion won on revenue of 45.11 trillion won for July through September. Revenue fell 3.4%, while net profit including non-controlling interests dropped 24.2% to 1.93 trillion won.
Hyundai lowered its 2026 wholesale sales target to 4 million vehicles from 4.16 million. It reduced its operating profit margin target to a range of 5.5% to 6.5%, from 6.3% to 7.3%. Its revenue-growth target of 1% to 2% was unchanged.
Production losses outweigh stronger hybrid demand
Third-quarter wholesale volume fell 11.3% to 920,710 vehicles. Hyundai attributed the decline to fewer working days and strike-related production constraints. Sales in Korea fell 27.2%, while sales outside Korea declined 8%.
The company said favorable exchange rates, cost cuts and a stronger product mix helped lift operating profit despite lower revenue. Its quarterly operating margin rose half a percentage point to 5.9%.
Hybrid sales rose 3.8% to 167,414 vehicles and accounted for 18.2% of total sales, up 2.7 percentage points. Battery-electric vehicle sales fell 9.2% to 69,117 vehicles.
Hyundai said the revised annual targets reflected weaker global demand, production disruptions and higher raw material prices. It also reduced its automotive investment plan to 16 trillion won from 17.8 trillion won after reviewing priorities and timing.
The company maintained its quarterly dividend at 2,500 won per common share.
JBizNews Desk | Seoul
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