Hyundai Motor affiliate Kia Motors saw its sales and profits reach record highs in 2010, fueled by massive improvements in sales both at home and overseas.
The carmaker on Friday reported yearly sales of KRW23.26 trillion (US$20.88bn) and operating profit of KRW1.68 trillion, up 26.3% and 46.8% respectively year on year, the Korea Herald reported.
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Over the corresponding period, the company’s net profits jumped 55.4% to KRW2.25 trillion.
It sold 1.4m vehicles in the domestic and overseas markets, up 22.6%.
By market, Kia’s local sales increased 34.5% while exports jumped 65.5%.
Including vehicles produced at overseas plants, the company’s sales totalled 2.09m units.
After returning to profit in 2008, the company’s figures have improved rapidly aided by a string of successful new models.
Since 2008, Kia has seen a close to 20-fold increase in net profits, while sales increased by about KRW7 trillion.
This year, the company hopes to raise overall sales by about 16% to 2.43m units, and to continue pushing the K5 sedan in the global market.
“Preparations are being made to produce the K5 at the Georgia [US] plant and an exclusive model for China will go into production in Yancheng,” Kia vice president Lee Jae-rok said.
“The current production capacity for the K5 in Korea is 150,000 units, but it can be raised to 190,000 units by improving productivity. These issues, including production (of K5) in the US, are being discussed with the labour union.”
Regarding plans for expanding the company’s production network, Lee ruled out the possibility of building a plant in India [where parent Hyundai has an export-oriented factory] saying that the company will focus on further stabilising its operations and selling new models.
