▶ Revenues of KRW 816.8 billion & operating profit of KRW 43 billion, down from the same period last year;
▶ Growth in India & Brazil driven by government infrastructure investment and expansion of locally customized products;
▶ Market share expanded by engaging in retail promotions and bolstering the sales force in advanced markets

On the 23rd (Wednesday), HD Hyundai Construction Equipment announced that it had recorded revenues of KRW 816.8 billion and an operating profit of KRW 43 billion in the third quarter of 2024.

Revenues recorded top-line growth in India and Brazil due to greater market demand and localized sales strategies making inroads, but decreased by 12% year-on-year due to continued uncertainty in the global economy.

Meanwhile, operating profit decreased by 20% year-on-year due to lower sales of construction equipment and higher logistics costs.

By region, revenues in advanced markets, such as North America and Europe, decreased by 12% from the same period last year given the persistent economic slowdown and lower demand for new equipment amid uncertainty ahead of the U.S. presidential election, despite central banks having lowered interest rates.

On the other hand, efforts to bolster sales capabilities such as retail promotions were effective and increased market share, resulting in a lower sales decrease compared to the decrease in market demand.

In the Indian market, demand for construction equipment persists due to the government’s infrastructure investment policy, and in the Brazilian market, sales increased due to the expansion of the compact equipment lineup, resulting in an 11% increase in combined sales for both markets from the same period last year.

In particular, profitability in India and Brazil are growing further with an increase in sales proportion of locally produced equipment based on stable market conditions.

In other emerging markets, the prolonged geopolitical risks and the economic slowdown have delayed the recovery of customers' purchasing power, leading to lower sales.

Despite the difficult market conditions, HD Hyundai Construction Equipment plans to continue to expand revenues in emerging markets by expanding the sales of localized products and undertaking sales activities targeting major customers.

An official from HD Hyundai Construction Equipment said, "Even in uncertain market conditions, our efforts, such as supplying localized products and promotions, have paid off in expanding our market share " and added, "We will continue to make every effort to achieve improving performance results amid a future market rebound."