Hyundai Mobis Reports Operating Profit of 457.6 Billion KRW Amid Semiconductor Shortage, Down 23.5% YoY

Cancellation of 220,000 Treasury Shares Worth a Total of 67.5 Billion KRW

[Asia Economy Reporter Yoo Je-hoon] Hyundai Mobis announced on the 28th that it recorded sales of 9.9899 trillion KRW and an operating profit of 457.6 billion KRW in the third quarter of this year. Sales remained at a similar level compared to the same period last year, while operating profit decreased by 23.5%.

Sales were maintained at a level similar to last year due to increased supply in the electrification sector and growth in A/S business sales driven by global demand expansion. However, operating profit declined due to reduced finished vehicle volumes caused by the prolonged global semiconductor shortage and continued rising logistics costs.

A Hyundai Mobis official stated, "We expect gradual profitability improvement as the global semiconductor supply environment improves," adding, "We will continue to expand orders from global customers, focusing on high value-added core components including electronic parts."

Meanwhile, Hyundai Mobis plans to cancel 220,000 treasury shares worth a total of 62.5 billion KRW on the 1st of next month. This is part of the shareholder value enhancement policy announced by Hyundai Mobis in 2019. Accordingly, Hyundai Mobis has purchased treasury shares worth a total of 1 trillion KRW over three years, and will complete the cancellation of treasury shares worth 187.5 billion KRW among the purchased shares.