DAILY - UPDATED
Kia’s profit soars on higher global sales
While major global automakers struggle, Korean automakers are on a roll! Kia posts record-high Q3 earnings.!
Both South Korean carmakers, Hyundai Motor Co. and Kia Motors Corp. continue to outperform its main international rivals by posting stronger sales results and higher earnings!
Recently, Kia reported that its net profit swelled to a record $339 million in the third quarter! Kia’s earnings were boosted by weaker South Korean won and higher sales achieved in the most important international markets such as China, US and Europe.
According to Pamela Munoz, a company representative, the Q3 net profit was Kia’s highest ever on a quarterly basis! Just a few days ago, Hyundai also announced its net profit hit a new record of $832 million for the three months that ended in September. Together with Hyundai, Kia now challenges Germany’s Volkswagen to become the most profitable automaker in the world!
Kia posted the largest sales gain in China, where the automaker saw its sales rising 48 percent to 166.869 units sold to date. The automaker has also been successful at its home, Korean market where sales increased to 291.525 units (+ 27 percent compared to last year’s figures) in the first nine months.
In the US, where sales have recently been boosted by introduction of “scrappage programs”, Kia increased both, its sales and market share. So far this year, Kia dealers across the nation moved 274.976 new vehicles from their showrooms (+ 6.5 percent). Cumulatively, through the first nine months of the fiscal year, Kia’s global sales increased to 1.187.795 units (+11 percent).
With a slew of new, exciting products just around the corner, Kia executives expect the growth to continue into next year and beyond. The automaker will soon launch its long-anticipated premium sedan, called K7 in Korea (and Cadenza in other markets), while Kia also has high hopes for the all-new Venga mini-MPV, which goes on sale in Europe within the next two months.
For the 2010, Kia plans to launch other new models including the next generation Sportage SUV and Optima sedan. The automaker will also increase its international marketing spendings and open its first-ever US manufacturing plant! Kia plans to hold a ceremonial first car (new Sorento) roll-out on November 16th.