Hyundai Navigates Profit Decline with Strategic Moves and Future Prospects
Hyundai Motor India reported an 8% decline in net profit due to decreased domestic sales amid challenging market conditions. The company is focusing on expanding its brand presence and anticipates recovery driven by seasonal demand and government policies. Hyundai is also enhancing its export growth and engine production capacity.
- Country:
- India
Hyundai Motor India on Wednesday announced an 8% decline in its consolidated net profit, totaling Rs 1,369 crore for the first quarter ending June 30, attributed to lower domestic sales. The company had posted Rs 1,490 crore profit during the same period last year.
The auto giant faced a drop in total income to Rs 16,628 crore, compared to Rs 17,568 crore in the previous year's corresponding quarter. Overall sales saw a 6% decrease, with domestic sales falling by 11% amidst ongoing macroeconomic challenges and global uncertainties.
Despite the downturn, Hyundai is focused on strengthening its core areas like brand enhancement and expanding its rural presence, with expectations of a rebound in demand during the monsoon and festive seasons. The company noted a 3% growth in exports for the quarter and is expanding engine production at its Pune plant to sustain operations.
(With inputs from agencies.)
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