Hyundai’s net profit rises to $9.2 billion by end-2024

South Korean automaker Hyundai Motor Co. said Thursday its net profit for 2024 rose 7.8 percent from a year earlier on rising global demand for eco-friendly vehicles.

The company said in a regulatory filing that its net profit came to 13.22 trillion won ($9.2 billion) last year, compared with 12.27 trillion won in 2023, Yonhap News Agency reported.

Full-year operating income fell 5.9 percent on-year to 14.23 trillion won, while annual sales rose 7.7 percent to a record 175.23 trillion won during the cited period.

The drop in operating profit was due to the depreciation of the South Korean won against the U.S. dollar late last year, which led to an increase in sales guarantee provisions.

Sales warranty provisions weigh on corporate earnings due to reduced profits and increased expenses when warranty claims are filed.

In the fourth quarter, net profit came to 2.47 trillion won, up 12.3 percent on-year. Operating profit fell 17.2 percent to 2.82 trillion won, while sales rose 11.9 percent to 46.62 trillion won.

Hyundai Motor said it sold a total of 757,191 eco-friendly vehicles globally last year, up 8.9 percent on-year. This includes 218,500 electric vehicles and 496,780 plug-in hybrid electric vehicles.