Hyundai Motor Group ranks among global top 3

Hyundai Motor Group secured a spot among the top three global automakers in both sales volume and operating profit last year. Volkswagen Group announced on March 11 (local time) that it recorded 324.7 billion euros (approximately 513.64 trillion won) in revenue and 19.1 billion euros (about 30.21 trillion won) in operating profit in 2023. While revenue increased by 1% year-over-year, operating profit declined by 15%.

Toyota Group, which topped the rankings, reported 46.75 trillion yen (around 457.89 trillion won) in revenue and 4.79 trillion yen (approximately 46.94 trillion won) in operating profit. Hyundai Motor Group followed Volkswagen in third place with 282.68 trillion won in revenue and 26.91 trillion won in operating profit, maintaining the industry’s top three structure alongside Toyota and Volkswagen.

Hyundai had outpaced Volkswagen in operating profit through the third quarter of 2023, raising expectations that it might claim the second spot. However, a series of adverse factors at the end of the year prevented the company from maintaining its lead. Increased economic uncertainty at home and abroad led to a sharp rise in exchange rates, inflating provisions for sales warranties and other liabilities, which are calculated based on the year-end exchange rate.

Despite this, Hyundai Motor Group outperformed Volkswagen Group in operating profit margin. Toyota Group recorded the highest margin at 10.3%, followed by Hyundai at 9.5% and Volkswagen at 5.9%. Toyota led with 10.82 million units in sales volume, followed by Volkswagen with 9.03 million and Hyundai with 7.231 million.

Professor Lee Ho-geun of Daedeok University’s Future Automotive Department explained that Hyundai’s ability to compete closely with Volkswagen in operating profit, despite having fewer brands, was primarily driven by strong sales of hybrid and electric vehicle models, which improved profitability, and robust performance in the U.S. market.


한종호 기자 hjh@donga.com