HL Mando's 2Q Operating Profit Forecast Declines 3% to 100B Won Amid China Demand Weakness

According to Yonhapinfomax's forecast based on 11 local brokerages on July 21, HL Mando's 2Q operating profit is expected to decline 3% year-over-year to 100 billion Korean won, while revenue is projected to grow 2.1% to 24.512 trillion won.

The decline reflects weakened demand in China—accounting for 20% of sales—and a roughly 3% decrease in global output from Hyundai Motor and Kia, which represent 47% of the company's revenue. Rising semiconductor costs are further pressuring profitability. However, increased shipments from North American EV makers, including Tesla, and a demand spike in India following a competitor's factory fire are expected to bolster revenue.