agent Entrepreneur logo
MenuMENU
SearchSEARCH

Hyundai, Kia Decline After Earnings Miss Analysts’ Estimates: Seoul Mover

January 26, 2012
2 min to read


Hyundai Motor Co. and its smaller affiliate Kia Motors Corp. fell in Seoul trading after South Korea’s two biggest automakers reported fourth-quarter profits that missed analysts’ estimates.


Hyundai fell for a second day, slipping as much as 3.7 percent to 220,500 won at 10:44 a.m. on the Korea Exchange, while Kia dropped as much as 2.9 percent. Seoul-based Hyundai, maker of the Elantra sedan, yesterday reported net income that was about 10 percent below the average analyst estimate compiled by Bloomberg, while Optima-maker Kia today delivered profit that was 27 percent lower than the average estimate.

Ad Loading...


The share declines signal investors are betting that Hyundai and Kia, the two best performers on the Bloomberg World Auto Manufacturers Index in 2011, will fail to replicate their success this year as Toyota Motor Corp. and Honda Motor Co. recover from natural disasters in Japan and Thailand. This week, Honda President forecast Takanobu Ito forecast earnings will climb to the highest in at least five years and Toyota raised its sales forecast.


“There’s an underlying concern that Hyundai and Kia may not perform as well as they did last year,” said Lee Jin Woo, a fund manager at Seoul-based KTB Asset Management Co., which manages the equivalent of $3.6 billion in assets, including Hyundai and Kia shares. “This uncertainty will continue throughout the year, and each misstep will trigger the concern.”


Hyundai’s full-year net income rose 35 percent to 8.1 trillion won ($7.2 billion), more than the combined estimated earnings at Toyota and Nissan Motor Co. Still, the quarterly results missed estimates because of unexpected bonus payments at financial affiliate Hyundai Capital, Gregory Kim, an analyst at Mirae Asset Securities Co. in Seoul, said yesterday.


Kia, the maker of the Optima sedan and Rio compact, today delivered fourth-quarter net income, operating profit and revenue that missed average analyst estimates compiled by Bloomberg.


More Industry

F&Iby Lauren LawrenceFebruary 27, 2026

Price Driving Insurance Churn

Over half of insurance holders ages 18 to 29 reported to be 'somewhat' likely to change providers in the next 90 days, according to CivicScience, which found that interest was lower among older age groups.

Read More →
Industryby Lauren LawrenceFebruary 26, 2026

AI Drives Dealer Website Traffic

Total visits to dealer websites from generative artificial intelligence platforms grew more than 15 times year-over-year, signaling a shift in how many consumers shop for cars online.

Read More →
Industryby Hannah MitchellFebruary 26, 2026

Automakers Tops in Fuel Economy

In the U.S., Honda has the most efficient gas-electrified combo lineup while Tesla beats all automakers in annual EPA ranking as brands built their alternative-fuel offerings.

Read More →
Ad Loading...
F&Iby Lauren LawrenceFebruary 25, 2026

Report Finds Year-End F&I Strength

Deal volume ebbed and flowed throughout 2025, but product performance remained steady, according to automotive technology and data intelligence solutions provider StoneEagle.

Read More →
Industryby Hannah MitchellFebruary 24, 2026

Overall Consumer Confidence Up

Americans’ view of present business conditions, the labor market and family finances, though, are still in the dumps, and if they plan to buy cars, many target used units.

Read More →
Auto Financeby Lauren LawrenceFebruary 23, 2026

Auto Loan Forecast Bucks Market Trend

Auto loan originations rose over 6% year-over-year in the third quarter of 2025, but TransUnion predicts a slight decline in auto loan growth this year, making it an outlier in the company's overall lending forecast.

Read More →
Ad Loading...
F&Iby Hannah MitchellFebruary 23, 2026

Some Auto Brands Cheaper to Insure

A new top 10 list ranks the least expensive for average full insurance coverage on a clean driving record and high driver credit scores.

Read More →
Industryby StaffFebruary 20, 2026

Learn to Manage the Mayhem at Agent Summit

Rob Mancuso – president of Mancuso Automotive – will present a Keynote at the 2026 event.

Read More →
Fixed Opsby Hannah MitchellFebruary 20, 2026

Auto Recalls Sank Last Year

2025 Sedgwick data indicate that the number of vehicles affected fell to its lowest point in more than a decade.

Read More →
Ad Loading...
Industryby Lauren LawrenceFebruary 19, 2026

Affordability Leads Top-Rated List

Edmunds’ editorial team tested 300-plus vehicles to help determine the Top Rated Awards for 2026, and one brand stood out with multiple rankings, including Best of the Best.

Read More →