Hyundai Motor’s 2015 profit sinks to 5-year low
- 8 years ago
Hyundai Motor Co. reported its lowest annual profit in five years after a failure to fully anticipate strong demand for sports utility vehicles in China led to a sales drop in the world’s largest auto market.
The South Korean company said Tuesday its net profit for 2015 was 6.51 trillion won ($5.4 billion), down 15 percent from 7.6 trillion won in 2014.
Hyundai’s sales in China dropped about 30 percent in June and July over a year earlier on lower demand for its passenger vehicles and the absence of a new sports utility vehicle model.
SUVs have become the fastest growing sales category for new passenger vehicles in China.
Passenger cars accounted for nearly three quarters of Hyundai’s annual vehicle sales last year while SUVs accounted for 21 percent.
The South Korean company said Tuesday its net profit for 2015 was 6.51 trillion won ($5.4 billion), down 15 percent from 7.6 trillion won in 2014.
Hyundai’s sales in China dropped about 30 percent in June and July over a year earlier on lower demand for its passenger vehicles and the absence of a new sports utility vehicle model.
SUVs have become the fastest growing sales category for new passenger vehicles in China.
Passenger cars accounted for nearly three quarters of Hyundai’s annual vehicle sales last year while SUVs accounted for 21 percent.