Hyundai Motor Securities, Strong Q2 Earnings...Continued Stable Growth

[Asia Economy Reporter Park Jihwan] Hyundai Motor Securities continued its stable growth by achieving strong performance in the second quarter of this year.

Hyundai Motor Securities announced on the 29th through its preliminary operating results disclosure that it recorded an operating profit of 42.5 billion KRW on a consolidated basis in the second quarter of this year. This is a 4% increase compared to 40.9 billion KRW in the same period last year. Net profit for the period was 31.3 billion KRW, up 9.6% from the same period last year. Both operating profit and net profit for the second quarter are the highest ever recorded for that quarter and the third-best quarterly performance in history.

In the first half of this year alone, operating profit reached 99.5 billion KRW, bringing the record high performance of 117.4 billion KRW achieved last year, when it first surpassed 100 billion KRW, within reach.

By division, the IB (Investment Banking) division recorded net operating income that surged more than 62% compared to the same period last year. This was thanks to executing various deals such as multi-family housing and business district development, as well as SOC (Social Overhead Capital) projects, despite the PF (Project Financing) market contraction due to real estate regulations.

The retail division also recorded net operating income that increased by more than 12% compared to the same period last year, driven by brokerage gains from increased transaction volume. Additionally, despite concerns over losses in the trading division due to the slowdown in the stock market and rising interest rates, solid performance was maintained in the PI (Proprietary Investment), bond, and derivatives divisions, contributing to the strong overall results.

A Hyundai Motor Securities official stated, "In the second half of the year, we plan to strengthen customer services by enhancing the digital division and expanding overseas stock services to increase touchpoints with customers," adding, "We will continue stable growth through expanding new customers and diversifying our business portfolio."