South Korea’s Hyundai Motor Co (005380.KS) forecast solid vehicle sales and revenue growth in 2023, easing concerns that a weak global economy may dampen car demand.
Shares in Hyundai extended gains made earlier on Tesla’s outlook and were up 6% in afternoon trade.
Hyundai said it is targeting revenue growth of 10.5%-11.5% this year. It expects a 9.6% jump in North American vehicle sales and a 20.5% surge in China vehicle sales.
It also flagged potential improvement in its operating profit margin, predicting a margin between 6.5% and 7.5% compared with 6.9% in 2022.
For the October-December period, it reported a tripling of net profit to 1.7 trillion won ($1.4 billion) after one-off costs were booked in the same period a year earlier.
That, however, fell short of a Refinitiv SmartEstimate of 2.5 trillion won drawn from 18 analysts.