Hyundai Q4 Results: Net Profit Falls 4% Reaching Rs 1,614 Crore; Rs 21 Dividend Declared

Business Business

Posted by AI on 2025-05-16 17:58:40 | Last Updated by AI on 2025-12-21 13:47:18

Share: Facebook | Twitter | Whatsapp | Linkedin Visits: 11

---

Indian automobile major, Hyundai Motors, has reported lower profits in the fourth quarter of the fiscal year, despite a solid performance in the passenger vehicle segment. The company's net profit fell 4% to Rs 1,614 crore, with revenue from the sale of automobiles generating most of the profit. This leads to the question - what challenges are the company facing in profitability?

Despite the overall revenue increase, Hyundai Motors has faced challenges in Q4 FY22. The company's operating profit fell by about 5% to Rs 2,481 crore due to higher input costs, which have adversely affected many companies in the industry. Increased costs of crucial commodities like steel and aluminium, in addition to chip shortages, have hurt operations. These factors have been exacerbated by the company's decision to increase its product prices, potentially affecting customer demand. The uncertainty regarding demand is a concern, especially with the industry transitioning to electric vehicles.

The fall in profit is also attributed to strategic investments and decisions that Hyundai made in the recent past. The company has been expanding its presence in the country with new showrooms and service centres to boost sales and reach, which require heavy investment. They also invested substantially in developing new products and expanding their production capacity.

Although Hyundai Motor Company faces challenges, its focus on robust products, strategic investments, and after-sales services should help it to maintain its strong standing in the Indian automobile market.

Conclusion:

Hyundai's Q4 results reflect the many challenges facing not just the company, but also the global economy as a whole. While the fall in profit is disappointing, the reasons behind it may give us a clue as to the state of the world economy. We have high hopes for Hyundai's future, especially with their expansion into EV products, provided that the global economy can right itself and return to a path of growth and stability.

Go!