Kia Book Significative Profits In The Third Quarter Of 2023

Kia Sportage PHEV. (Doc. Kia Global)

JAKARTA - Kia has just announced a positive achievement in sales during the third quarter of 2023. The company recorded global sales of 778,213 units, marking an increase of 3.5 percent compared to the previous year.

In that period, Kia managed to record revenues of 25.55 trillion won or around Rp. 300 trillion, which showed an increase of 10.3 percent. Meanwhile, operating profit reached 2.87 trillion won or around Rp. 33.7 trillion, marking a significant increase of 272.9 percent.

Based on the company's official report released on Friday, October 27, Kia's net profit also increased significantly to 2.22 trillion won or around Rp26 trillion, an increase of 384 percent compared to the same period the previous year.

This increase can be attributable to the increasing profitability of companies caused by strategies to increase products with high added value, price stability of raw materials, and profits from profitable exchange rates.

Of the total 778,213 units sold, 643,962 vehicles were successfully sold outside South Korea, showing an increase of 4 percent. Meanwhile, sales in the domestic market reached 134,251 units, which increased by 1.1 percent.

The company notes that strong demand comes mainly from North America and Europe. Sales are dominated by SUV models such as Sportage and Sorento, as well as MPVs such as Carnaval.

In the electric vehicle segment, Kia managed to record retail sales of 149,000 units, including hybrid models, plug-in hybrid (PHEV), and EV. This increase reached 21.2 percent compared to the same period the previous year.

In dealing with global economic uncertainty, Kia plans to strengthen its business by launching more electrification vehicles. The company is optimistic that this trend will continue in the late quarter of 2023 with the presence of several new models.

Kia also plans to launch EV9 in key markets such as the US and Europe. In addition, Kia will increase the presence of its brands and sales through the launch of strategic models in certain areas, including the launch of a new Sonet SUV in India and the EV5 electric SUV model in China.