Hyundai Motors released its 2024 annual and fourth-quarter business results, revealing a year of mixed performance. While total vehicle sales dipped, the automaker achieved significant revenue growth and increased its electric vehicle (EV) deliveries.
In 2024, Hyundai sold a little over 4.1 million vehicles globally, a 1.8% year-over-year decline. While annual revenue growth rose 7.7%, its operating profit declined 5.9%, with an 8.1% operating profit margin. Net profits increased to 7.8% year-over-year.
In the fourth quarter of 2024, Hyundai sold roughly a little over 1 million units, a 2.2% decrease year-over-year. However, revenue increased 11.9% year-over-year, with an operating profit margin of 6.1%. This quarter’s results were shocking as it was a 17.2% drop from a year earlier. The automaker largely attributes the drop to higher sales warranty provisions due to the weakening of South Korea’s won and increased incentives to stir consumer demand in a cooling market.
Hyundai’s annual electric vehicle (EV) sales rose by 8.9% year-over-year to 757,191 units; 218,500 were fully electric, and 496,780 were hybrid units.
During the fourth quarter, Hyundai sold 209,641 EVs–including commercial vehicles–a 21% increase year-over-year. Fully electric units accounted for 53,035 units, while hybrids landed at 145,732. Hyundai’s EV segment was primarily driven by growth in the North American market.
Hyundai and its sister company, Kia, are the world’s third-largest automaker by sales. Despite the profit miss, the automaker is eyeing revenue growth of 3 to 4% and an annual operating profit margin of 7 to 8%. In addition, the company is projecting that it will sell roughly 4.17 million units this year.
The automaker plans to invest significant capital into R&D and strategic initiatives, focusing on cost efficiency, sales optimization, and flexible operations to counter industry disruptions. The automotive also plans to expand its hybrid EV portfolio to meet the growing consumer demand.
