Hyundai Mobis, South Korea’s top auto parts manufacturer, disclosed a 39.9% decline in net profit for the fourth quarter, mainly due to losses from equity investment in group affiliates and the impact of Washington’s sectoral tariffs. The company’s net profit for the quarter ended in December stood at 768.1 billion won, down from 1.28 trillion won in the same period the previous year. Operating profit also decreased by 5.6% to 930.5 billion won, while sales saw a 4.7% increase to 15.39 trillion won.
Market expectations were not met, with analysts’ average net profit estimate at 1.05 trillion won, as per a survey by Yonhap Infomax. A company official attributed the decline in net income to shareholding losses from affiliates within Hyundai Motor Group and the impact of auto parts tariffs imposed by Washington. For the full year of 2025, Hyundai Mobis reported a 9.7% decrease in net profit to 3.66 trillion won. However, annual operating profit rose by 9.2% to 3.35 trillion won, with sales increasing by 6.8% to 61.11 trillion won.
The company credited the annual growth in operating profit to its manufacturing operations, particularly module assembly and parts production. Sales from this segment rose by 5.9% year-on-year to 47.8 trillion won, driven by the full-scale operation of electrification plants in North America and strong growth in high value-added core components like automotive electronics. Hyundai Mobis announced plans to continue investing in facilities to enhance its future mobility competitiveness, with research and development (R&D) spending anticipated to surpass 2 trillion won for the first time this year.
