Hyundai Motor Company reported a solid Q2 2024 performance, with operating profit increasing 0.7% year-on-year to ₩4.3 trillion ($3.1 billion). The automaker’s revenue rose by 6.6% to ₩45 trillion for the three months ending in June, while net profit surged 24.7% to ₩4.2 trillion.
The quarterly results were bolstered by strong hybrid vehicle sales, which grew 26.4% to 122,421 units. This uptick in hybrid sales compensated for a significant 24.7% drop in electric vehicle (EV) sales, which totaled 58,950 units.
Operating profit also saw a substantial 20.3% increase from the previous quarter, with revenue rising by 10.7%. Hyundai, along with its smaller affiliate Kia, maintains its position as the world’s third-largest automaker.
“Hyundai Motor expects hybrid demand to remain strong in the short term as the growth of the EV market slows down,” the company stated. “In the long term, the company expects EV demand to lead the market for environmentally friendly vehicles.”
In light of potential political changes, Hyundai is considering expanding its hybrid vehicle production. If Donald Trump wins the upcoming presidential election, the company anticipates a rollback of President Biden’s Inflation Reduction Act (IRA) subsidies for EV buyers, which could impact EV sales.
“In preparation for the reduction in IRA support, we are considering plans to significantly increase hybrid sales volumes based on Hyundai’s strength of flexible production,” a Hyundai executive mentioned during a conference call.
Additionally, Hyundai filed for an initial public offering of its Indian unit with the country’s securities authorities, aiming to complete the listing by the end of the year.
