Hyundai Reports Strong 2022 Annual and Q4 Business Results

Hyundai Motor Company (KRX: 005380) announced Fiscal Year 2022 and fourth quarter results, with solid performances across the board.

The company sold 3,942,925 vehicles worldwide in 2022, 1.3% more than the previous year.

Annual sales rose 21.2% to KRW 142.5 trillion, while annual operating profit climbed 47% to KRW 9.82 trillion, with an operating profit margin of 6.9%.

Net profit amounted to KRW 7.98 trillion, an increase of over 40% year-on-year.

In Q4 2022, Hyundai sold 1,038,874 vehicles worldwide. Sales in markets outside Korea rose 9.3% to 846,825 units as the global component shortage gradually recovered.

Sales in Korea rose 3.3% to 192,049 units, driven by strong demand for the seventh-generation Grandeur sedan and the Genesis model line.

Fourth quarter revenue increased 24.2% year-on-year to KRW 38.52 trillion, while operating profit climbed nearly 120% year-on-year to KRW 3.36 trillion, with an operating profit margin of 8.7%.

The company also reported a net profit (including non-controlling interests) of KRW 1.71 trillion, up 144% year-on-year.

Hyundai attributed its strong performance to increased sales of SUVs and models of the Genesis luxury brand and a favorable exchange rate environment.

Despite market uncertainties such as exchange rate fluctuations and persistent supply problems, the company optimized production at its global plants as the problem of component shortages gradually improved.

In 2023, Hyundai targets consolidated sales growth of 10.5~11.5% and an annual consolidated operating profit margin of 6.5~7.5%.

The company is targeting total sales of over 4.32 million vehicles this year.

Hyundai plans to increase its investment to KRW 10.5 trillion, including KRW 5.6 trillion for capital expenditure, KRW 4.2 trillion for research and development, and KRW 700 billion for strategic investment.

As a result, the company will pay a year-end dividend of KRW 6,000 per common share, a 50% increase over 2021, and a total of KRW 7,000 per common share for 2022, including an interim dividend of KRW 1,000.