Kia Corp., South Korea’s second-biggest carmaker, said Friday its fourth-quarter net profit soared 63 percent from a year earlier on improved chip supplies, strong demand for its high-end SUVs and a weak won.
Net profit for the three months ended Dec. 31 jumped to 2.037 trillion won (US$1.65 billion) from 1.248 trillion won during the same period of last year, the company said in a statement.
“An improved product mix, higher average selling prices, lower incentives, and the won’s weakness (against the dollar) buoyed the quarterly bottom line despite high inflation and a global economic slowdown,” the statement said.
Robust vehicle sales in South Korea, the United States and emerging markets except for China and Russia helped the quarterly results, the company said.
Improved chip supplies pushed up vehicle production and sales, while increased sales of environment friendly SUVs and a weak won enhanced profitability, it said.
The dollar rose to an average of 1,359.26 won in the fourth quarter from 1,183.17 won a year earlier, according to the Bank of Korea.
Operating profit more than doubled to 2.624 trillion won in the fourth quarter from 1.175 trillion won a year ago. Sales rose 35 percent to 23.164 trillion won from 17.188 trillion won.
For all of 2022, net income climbed 14 percent on-year to 5.409 trillion won. Operating profit jumped 43 percent to 7.233 trillion won and sales were up 24 percent to 86.559 trillion won during the same period.
Source: Yonhap News Agency