[THE INVESTOR] KTB Investment and Securities on Sept. 20 forecast that Hyundai Motor, the nation’s largest carmaker, will see its third-quarter operating profit decline 7.3 percent to 1.39 trillion won (US$1.20 billion).
Its revenue was also estimated to drop 5.3 percent to 22.17 trillion won.
“The key factor is that its domestic plants have seen a 23.4 percent decrease in production,” the securities firm said in a report. “The carmaker’s profitability will be affected by marketing and administrative expenses.”
![](//res.heraldm.com/content/image/2016/09/20/20160920001029_0.jpg)
In the first and second quarter this year, the company’s marketing and administrative expenses soared to 297 billion won and 516 billion won, respectively.
The securities firm predicted the company’s fourth-quarter earnings could improve on sales in emerging markets.
By Lee Ji-yoon (jylee@heraldcorp.com)
Its revenue was also estimated to drop 5.3 percent to 22.17 trillion won.
“The key factor is that its domestic plants have seen a 23.4 percent decrease in production,” the securities firm said in a report. “The carmaker’s profitability will be affected by marketing and administrative expenses.”
![](http://res.heraldm.com/content/image/2016/09/20/20160920001029_0.jpg)
In the first and second quarter this year, the company’s marketing and administrative expenses soared to 297 billion won and 516 billion won, respectively.
The securities firm predicted the company’s fourth-quarter earnings could improve on sales in emerging markets.
By Lee Ji-yoon (jylee@heraldcorp.com)