Hyundai Motor India Q4 FY25 Results Overview
Hyundai Motor India Limited (HMIL), the Indian arm of the South Korean automotive major Hyundai Motor Company, released its financial results for the quarter ending March 31, 2025, reporting a 4% year-on-year decline in consolidated profit after tax (PAT) to ₹1,614 crore. This compares to ₹1,677 crore reported during the same period in FY24.
Despite a dip in profitability, the company managed a slight improvement in revenue. For Q4 FY25, total revenue from operations rose modestly to ₹17,940 crore, up from ₹17,671 crore in Q4 FY24, indicating a 1.5% revenue increase amid a challenging domestic market environment.
Decline in Domestic Sales and Financial Impact
The primary factor behind the decline in profits was a fall in domestic vehicle sales. Hyundai Motor India sold 153,550 units in the domestic market during the quarter, down from 160,317 units in the same quarter last year—a decrease of nearly 4.2%.
This downturn in sales volume directly impacted margins and net profitability, despite cost controls and improved realizations on certain models. The company is currently navigating through a phase of subdued consumer sentiment and macroeconomic headwinds affecting discretionary spending.
Hyundai Motor Annual Performance: FY25 vs FY24
For the full fiscal year 2024-25, HMIL reported:
- A 7% drop in consolidated PAT, which came in at ₹5,640 crore compared to ₹6,060 crore in FY24.
- A marginal decline in total revenue, with ₹69,193 crore reported in FY25 versus ₹69,829 crore in the previous fiscal year.
On the operational front:
- Domestic sales fell to 598,666 units in FY25 from 614,721 units in FY24—a drop of about 2.6%.
- Exports remained nearly flat, with FY25 exports at 163,386 units, compared to 163,155 units in FY24.
These figures highlight that while Hyundai Motor managed to retain its export strength, domestic challenges weighed heavily on overall growth.
Exports, Revenue, and Dividend Announcement
A notable positive for the company was its export performance in Q4 FY25. Exports grew to 38,100 units, up from 33,400 units in the corresponding period last year, reflecting Hyundai’s strong position in global emerging markets.
Additionally, the company declared a final dividend of ₹21 per share (face value ₹10 each) for FY25. This move underscores Hyundai’s commitment to rewarding shareholders despite a moderate decline in profitability.
The dividend is subject to shareholder approval at the upcoming Annual General Meeting (AGM). The record date for the dividend will be communicated separately.
Capex and Investment Plans for FY26
Hyundai Motor India has outlined a capital expenditure plan of ₹7,000 crore for the current fiscal year, aimed at strengthening long-term growth.
The allocation of funds is as follows:
- 40% (approx. ₹2,800 crore) will go toward the company’s upcoming Pune manufacturing plant, which will serve as a hub for both ICE and EV production.
- 25% (approx. ₹1,750 crore) is earmarked for new product development, particularly in the SUV and EV segments.
The balance will be used for R&D, network expansion, and supply chain enhancements, reinforcing Hyundai Motor’s commitment to growth and innovation.
Management Commentary and Future Outlook
Unsoo Kim, Managing Director of HMIL, reflected on the company’s performance:
“The year gone by signifies our resilience in the financial performance by way of sustained revenues and healthy operating margins attributable to improved realizations and effective cost control measures.”
Looking ahead, Kim shared a cautiously optimistic view for FY26:
“We remain cautiously optimistic on the domestic demand outlook in the near term amid prevailing macro-turbulences and weakening customer sentiments. While we expect our FY26 domestic growth to be broadly in line with industry estimates of low single digits, we are aiming for 7–8% volume growth in exports by improving focus and leveraging our strong brand equity and legacy in the key emerging markets.”
This dual focus on defending domestic market share and expanding exports signals a balanced growth strategy.
EV Roadmap and Market Strategy
Tarun Garg, Chief Operating Officer of HMIL, outlined the company’s ambitious product roadmap:
- Hyundai plans to launch 26 new models by FY30, including 20 internal combustion engine (ICE) vehicles and 6 electric vehicles (EVs).
- Out of these, 8 new models are scheduled for launch by FY27, with a heavy tilt toward SUVs, which contributed to 69% of Hyundai’s total sales in FY25.
On the electric vehicle front, Garg added:
“We expect EV penetration in the domestic passenger vehicle segment to reach 13–14% by 2030. Hyundai aims to surpass the industry average in EV penetration by having a more aggressive product and localization strategy.”
Hyundai is also investing in DC fast charging stations and expanding its EV infrastructure partnerships to bolster adoption in India.
Share Price and Market Reaction
On Friday, May 16, Hyundai Motor India shares closed at ₹1,839.7 apiece on the National Stock Exchange (NSE), marking a marginal gain of 0.20% ahead of the results.
While the modest market response suggests a degree of caution, the focus remains on how the market will react on Monday, May 19, once investors digest the full extent of Hyundai’s Q4 performance and strategic initiatives.
Given the dividend announcement, upcoming product launches, and export momentum, investor sentiment could remain steady, though domestic headwinds will continue to influence short-term stock trends.
Conclusion
Hyundai Motor India’s Q4 FY25 earnings highlight a period of consolidation marked by stable revenues, export resilience, and a proactive approach to strategic investments, despite domestic challenges and a slight dip in profits.
The company’s future roadmap, focused on EV growth, SUV dominance, and global market expansion, reflects a well-calibrated strategy for the evolving auto landscape.
The final dividend declaration, robust capex plan, and upcoming product launches provide reasons for long-term optimism, even as near-term demand uncertainties persist.
As Hyundai prepares to ramp up its manufacturing and product capacities, the market will closely watch how effectively the company navigates domestic slowdown while leveraging its export strength and innovation pipeline.
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