Hyundai Rotem Q3 net down 10.3% to $133.9 mil

Hyundai Rotem, a defense and railway subsidiary of Hyundai Motor Group, reported a 10.3 percent decline in net profit for the third quarter of the fiscal year, with the figure falling to $133.9 million. The company's operating profit also dropped by 11 percent from the previous year, reaching 247.1 billion won. Despite a slight increase in sales by 0.1 percent, totaling 1.62 trillion won, Hyundai Rotem's cumulative sales for the first nine months climbed by 11.2 percent year-on-year, amounting to 4.68 trillion won.

The operating profit for the first nine months, however, experienced a 4.7 percent decrease, settling at 703.7 billion won. As of the end of September, Hyundai Rotem's order backlog amounted to 29.14 trillion won, a reduction of 1.26 trillion won compared to three months prior. Additionally, the company announced its intent to acquire Hyundai Wia's defense business for 358.4 billion won, a strategic move aimed at strengthening its weapons production capabilities and potentially enhancing its overseas sales, particularly of the K2 tanks.