Hyundai Motor's Q3 operating profit rises 5.5% despite external challenges

Hyundai Motor posted modest growth in operating profit in the third quarter, as stronger sales of higher-value vehicles, particularly hybrids, and favorable exchange rates helped offset production disruptions and weaker global demand, the carmaker said Thursday. In a regulatory filing, the automaker reported operating profit growth of 5.5 percent between July and September to 2.68 trillion won ($2.05 billion), while its sales fell 3.4 percent to 45 trillion won during the same period. The carmaker managed to weather market concerns to some extent with the earnings growth, as the market expected the carmaker to continue its losing streak due to multiple risk factors, such as its domestic production disruptions caused by labor strikes and the deepening auto competition across the globe. Hyundai Motor attributed the profit increase to favorable exchange rates, cost optimization measures and an improved sales mix driven by growing demand for hybrid cars. The average won-dollar exchange rate rose 2.8 percent from a year earlier to 1,423 won during the third quarter. Hybrids accounted for 18.2