Hyundai Motor Co. projects slowing revenue growth of 3-4% in 2025, down from 7.7% in 2024, as global automotive competition heats up and demand growth remains limited.
The Korean automaker expects to sell 4.17 million vehicles globally in 2025, a marginal 0.8% increase from 2024, with its operating profit margin projected to decline to 7-8% from 8.1% in 2024.
To boost shareholder returns, Hyundai announced a share buyback program of up to 4 trillion won (US$3.1 billion) through 2027 and committed to a minimum quarterly dividend of 2,500 won per share. The company aims for a total shareholder return rate above 35%.
The company plans record investments of 16.9 trillion won (US$13.1 billion) in 2025, focusing on research and development amid intensifying electric vehicle competition. However, its operating margin faces pressure from rising costs and market uncertainties.
Fourth-quarter operating profit dropped 17.2% to 2.82 trillion won (US$2.2 billion), despite an 11.9% revenue increase, highlighting growing challenges in sustaining profitability. Hyundai’s global EV sales accounted for 2.2% of total sales in 2024, showing modest progress in electrification.
