Seoul – Kia Corporation announced strong Q3 2024 financial results, reinforcing its push toward electrification and enhanced global sales. With a 3.8% increase in quarterly revenue, reaching KRW 26.52 trillion, Kia’s strategic focus on recreational and electrified vehicles is driving financial resilience despite a slight dip in overall unit sales.
Quarterly Highlights and Financial Gains
Kia’s Q3 operating profit rose to KRW 2.88 trillion, maintaining an impressive 10.9% operating margin for the eighth consecutive quarter. The profit growth is attributed to stabilized raw material costs and beneficial currency exchange rates, which bolstered Kia’s profitability despite temporary operational disruptions in select facilities for model upgrades.
Despite a modest 1.9% decrease in global sales, amounting to 763,693 units, Kia continues to outperform in major markets, including North America, India, and the Middle East, largely fueled by popular models like the Sportage and Telluride. A temporary decline in subcompact vehicle sales in Europe due to supply constraints and reduced EV subsidies impacted overall figures.
Electrification Momentum and Flexible Production
In Q3, Kia saw a 3.6% rise in sales of electrified vehicles, reaching 155,000 units, with hybrids like the Sportage Hybrid and Carnival Hybrid leading the charge. The recent launch of the EV3 SUV underscores Kia’s commitment to expanding its electric lineup, aiming to meet the evolving demand for hybrid, plug-in hybrid, and all-electric options.
By advancing its production capabilities across varied powertrains—ICE, EV, PHEV, and HEV—Kia remains agile in response to shifting market dynamics and EV adoption rates.
Strong Outlook and Shareholder Initiatives
Building on its robust nine-month performance, with an 8.8% year-over-year increase in operating profit at KRW 9.95 trillion, Kia revised its 2024 full-year targets. The company anticipates revenues between KRW 105-110 trillion and an operating profit of KRW 12.8-13.2 trillion, surpassing previous forecasts.
In alignment with its shareholder value strategy, Kia will cancel the remaining 50% of its KRW 500 billion treasury stock by the year’s end, following a similar move in May. This action is designed to consolidate shareholder returns and reinforce market confidence.
Global Market Strategy and Expanded Model Lineup
In Q4, Kia will continue ramping up sales of flagship models, including the K8 Hybrid and Carnival Hybrid, while preparing for the refreshed Sportage SUV launch. In key markets like the U.S. and Europe, Kia is set to enhance supply chains to boost availability of high-demand vehicles such as the K4 compact sedan and EV3.
Expanding sales in India, Kia is also bringing its premium GT line trim to more buyers, delivering refined aesthetics and performance features for a diverse consumer base. Meanwhile, Kia’s China-based facility will operate as an export hub to strengthen sales across Asia-Pacific, the Middle East, and Latin America.
As Kia navigates industry challenges and an evolving automotive landscape, its strategic focus on electrification, high-value models, and premium trims reaffirms its commitment to sustainable growth and enhanced market positioning.
(Revenue / Operating Profit / Net Profit unit: Billion KRW)
| 2024 Q3 | 2023 Q3 | Y/y Change | ||
| Vehicle sales (Units) | 763,693 | 778,213 | △1.9% | |
| Korea | 125,191 | 134,251 | △6.7% | |
| Outside of Korea | 638,502 | 643,962 | △0.8% | |
| Revenue | 26,519.8 | 25,545.4 | 3.8% | |
| Operating profit | 2,881.3 | 2,865.1 | 0.6% | |
| Net profit | 2,267.9 | 2,221.0 | 2.1% | |
* Net Profit includes non-controlling interest
* Under K-IFRS
