⁍ South Korea’s Hyundai Motor Co said on Monday it swung to a net loss in the July-September quarter.
⁍ The automaker missed analysts’ estimates by a large margin as a charge related to engine issues weighed on earnings.
⁍ Hyundai and Kia have recalled vehicles over defects that increase the risk of stalling and engine fires.
– South Korea’s Hyundai Motor Co said Monday it swung to a net loss in the July-September quarter, missing analysts’ estimates by a large margin as a charge related to engine issues weighed on earnings. Hyundai, the world’s fifth-biggest automaker when combined with affiliate Kia Motors Corp, reported a net loss of $277 million for the third quarter, reports Reuters. Hyundai and Kia last week said their third-quarter earnings would reflect quality-related costs of a combined 3.36 trillion won, of which Hyundai accounted for 2.1 trillion won and Kia for 1.26 trillion won. Another $3 billion of provisions related to engine issues brought their total hit from a series of years-long quality problems to nearly $5 billion. Hyundai and Kia have recalled vehicles over defects that increase the risk of stalling and engine fires.
Source: https://www.reuters.com/article/hyundai-motor-results/hyundai-motor-swings-to-net-loss-in-third-quarter-as-costs-of-engine-issues-weigh-idUSKBN27B0EX