NEW DELHI: Automaker Hyundai Motor India on Tuesday posted a 16% y-o-y fall in consolidated net profit to Rs 1,375 crore for the quarter ended September 2024.
The company had reported a net profit of Rs 1,628 crore in the same period last year.
Announcing its first quarterly results after listing on stock exchanges, the automaker reported a 8% decline in revenue from operations to Rs 17,260 crore for the second quarter compared to Rs 18,660 crore in the year-ago period.
Hyundai Motor India said it has sold a total of 1,91,939 units of passenger vehicles during the second quarter. This includes 1,49,639 units in the domestic market, with a strong contribution from the SUV segment, it added. The export volume stood at 42,300 units, HMIL said.
The company had sold a total of 2,09,777 units in the year ago period. HMIL Managing Director Unsoo Kim said in a press conference that the company had challenges on volumes in the second quarter due to the domestic and geopolitical factors impacting its margins.
The Indian auto industry is cyclical in nature, and has its ups and downs, after the phenomenal growth in the last two-three years due to the pent up demand post-COVID, the current demand moderation is very natural, he added.
The automaker fared well in regions like Africa and Latin America, but the Middle East continued to face headwinds due to the Red Sea crisis, Kim said. “We will be closely monitoring the situation, and will also plan to mitigate the risk by focusing on other regions,” he added. HMIL COO Tarun Garg said that prevailing high interest rates and lack of pent-up demand in the market were some of the factors affecting the domestic market.
Shares trading lower
HMIL made its market debut on October 22 at the opening price of R1,931 per share on BSE. Its shares closed lower by 0.98% at Rs 1,804.45 on the BSE following its financial results. The shares of the company are still trading lower than its IPO price of Rs 1,960 per share. The company sold a total of 1,91,939 units of PVs during the second quarter.