Hyundai Motor Securities posts W59.3b net profit in H1, up 48%

Hyundai Motor Securities posted a consolidated net profit for the period of 59.3 billion won ($40.9 million) in the first half of this year, with earnings rising more than 48 percent from the same period last year on the back of stronger retail revenue.

According to DART, the Financial Supervisory Service's electronic disclosure system, the company's first-half consolidated net profit came to 59.31 billion won, up 48.2 percent from 40.01 billion won a year earlier.

Sales for the same period reached 1.88 trillion won, a 68.2 percent increase from 1.12 trillion won in the first half of last year. Operating profit, however, fell 5.0 percent on-year to 51.43 billion won.

Looking at the second quarter alone, net profit rose 57.9 percent to 32.72 billion won from 20.73 billion won in the same quarter last year. Second-quarter sales climbed 49.1 percent on-year to 1.03 trillion won, compared with 693.64 billion won a year earlier. Operating profit for the quarter declined 29.3 percent to 19.12 billion won from 27.03 billion won in the year-ago period.

Earlier this year, Hyundai Motor Securities reported a first-quarter consolidated net profit of 26.59 billion won, up 37.9 percent on-year. At the time, its retail and investment banking divisions — the core pillars of the company's mid- to long-term value-up business plan — both delivered solid results, driving the profit growth.

"Although conservative portfolio management amid heightened financial market volatility limited earnings, we were able to maintain solid results thanks to growth in retail revenue," a company official said.

The official went on to say the company would focus in the second half on achieving balanced profitability recovery across all business divisions and diversifying revenue sources. "We will also spare no effort in building the systems needed to secure future growth engines, as the launch of our next-generation system and AI platform 'HAI 2.0' is scheduled," the official added.

"We will faithfully execute our value-up plan through improved profitability and business stabilization, and continue to enhance corporate value," the official said.