Hyundai Motor Group overtakes Samsung in H1 net profit

SEOUL, Sept. 4 (Yonhap) -- Net income posted by Hyundai Motor Group surpassed that of Samsung Group for the first time in the January-June period as the carmaker group hummed along despite the local currency's ascent, data showed Sunday.
Combined net profit by Hyundai Motor Group amounted to 9.17 trillion won (US$8.63 billion) in the first half, up 42.5 percent from the previous year, according to data compiled by the Korea Exchange and the Korea Listed Companies Association.



But in the cited period, total net income logged by Samsung Group reached 8.1 trillion won, down 20.6 percent from a year earlier, data showed.
It marked the first time that net profit by Hyundai Motor Group companies, including Hyundai Motor and Kia Motors, outpaced that of Samsung Group, the country's largest conglomerate.
"In the first half, Hyundai Motor Group showed outstanding performance, withstanding the won's strength to the dollar. If the group performs at the current pace, its yearly net income may outstrip that of Samsung Group," said Jung Sun-seop, chief executive of Chaebul.com, a conglomerate research firm.
Top steelmaker POSCO ranked third by logging a net profit of 2.56 trillion won in the first half, followed by Hyundai Heavy Industries with 2.44 trillion won.
In the first half, share prices of carmakers sharply rose on their strong corporate bottom lines and bright earnings outlooks while stock prices of tech firms slid on slowing demand and a sharp fall in key chip prices.
"Lackluster earnings by tech firms came as demand was weaker than expected in the first half. Automakers expanded their overseas market shares as their Japanese rivals were reeling from the quake," said Oh Seung-hoon, an analyst at Daishin Securities Co.
sooyeon@yna.co.kr