Slow US growth is hampering profits at Hyundai. In its first quarter financial statement, the Korean automaker reported a profit of 1.93 trillion won ($1.86 billion). According to Reuters, this is less than analysts' expectations and nearly the same as last year.

According to the report, US sales fell by 3 percent in Q1 2014. To make matters worse, the high value of the South Korean currency caused lower profits on models exported from there. On the bright side, Hyundai's Chinese sales rose by 9 percent, according to Reuters. It's also working on building a fourth factory there.

The company has had a rough time in the US throughout the quarter. John Krafcik, the CEO of Hyundai of America, stepped down on January 1, and the company was already predicting slow growth in sales for 2014. Falling quality scores for the Sonata and Elantra aren't helping matters either. However, there may be hope on the way. The second-generation Genesis Sedan was introduced to the US in Detroit, and the redesigned Sonata was recently shown in New York. Successful launches of these important models could prove crucial.


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  • 44 Comments
      arizonabozo
      • 7 Months Ago
      I had a 2008 Hyundai Azera 106,000 miles best car I ve ever owned I never used the warranty. Will only buy Hyundai/Kia I want the warranty but the other manufactures will sell you one.
      Cool Disco Dan
      • 7 Months Ago
      Are these sales figures for the whole company or just its car section?
      John Sadders
      • 7 Months Ago
      Hyundai prices used to be a lot lower than Honda and Toyota so were a good buy and good seller.....Now the prices are not that much lower so sales are down......No secret here........
      Scooter
      • 7 Months Ago
      Hyundai/KIA came into the game a few years back with fresh stylish products. These days every automaker has a new stylish generation of its own. It's going to be quite a challenge when a Sonata must go against the restyled Fusion, Altima, Accord and the sales king, Toyota's Camry. Cars like Optima&Sonata have lost their cache in terms of styling, especially against cars like Mazda's luxury-looking 6. The domestic market is becoming heavily focused on style. Humble reliability no longer steers the ship. It's becoming all about features, LEDs and heavy handed styling.
      SooooRight
      • 7 Months Ago
      missed Q1 earnings because the bloom is wearing off the rose. Good luck all you Hyundai and KIA owners, you're gonna need it.
      Slideways
      • 7 Months Ago
      Not surprised. They aren't really segment leaders or anything except maybe the Santa Fe Sport. Their lineup offers value and nothing else. Most cars fall short of refinement, look at the C&D comparison tests. Most fall under near or last place. I commend them for how far they have come, they aren't bad cars. But they still need some work.
      lexusten
      • 7 Months Ago
      Cheap Korean junk
      Titansfan1967
      • 7 Months Ago
      I just do not believe the cars are durable
        Rob
        • 7 Months Ago
        @Titansfan1967
        With proper maintenance any vehicle will see 200.000 miles..including Hyundai. I have a 06 Elantra which i use as a daily driver with close to 188,000 miles. I would match the reliability up with a Corolla or Civic any day
      mary.keana
      • 7 Months Ago
      People forget why Hyundai grew so much a few years ago. The tsunami wiped out the Japanese brands manufacturing capability for almost a year. Then the massive Thailand flooding wiped out their parts suppliers the following year. They are now back to full production, plus new factories coming on line.
        Rob
        • 7 Months Ago
        @mary.keana
        Hyundai grew because they raised the bar and caught most of competition napping
          Iceman
          • 7 Months Ago
          @Rob
          Copy every other manufacture! They have the lowest budget of R&D, their idea of R&D is to go out and buy other manufactures vehicles and copy the engineering!
      Whatamooseiam
      • 7 Months Ago
      For those who don't know any better -- and there seems to be plenty here who are posting comments -- Hyundai spiked in annual sales setting at all time high for them in 2011, then they set another all-time high in 2012, and then again in 2013. Yes it's down this so far this year, but we're talking down only 3% which would be on pace for still one of their best years ever. That would be an accomplishment considering their aging lineup: the current Sonata was introduced back in 2010 and the Elantra back in 2011. And we all know the new Sonata and Genesis is coming up this year. The Elantra and Genesis Coupe should be all new next year as well. Face it, Hyundai isn't going anywhere.
        cdwdiaz
        • 7 Months Ago
        @Whatamooseiam
        Your a moron. What is Hyundai doing for you? Nothing!!
          Whatamooseiam
          • 7 Months Ago
          @cdwdiaz
          It's gotten me two trouble free cars for the past 7 years. And I still own both of them. So yeah, it's done me something. Love your hate, though. You must be a Toyota, Honda or Ford fan.
      Brian Brown
      • 7 Months Ago
      For several years they were selling like crazy. Now that people actually own a Hyundai, they are finding out that the service departments at their dealers are complete crap, full of liars and idiots. I had a 2012 Hyundai for about a year and a half and couldn't wait to get rid of it. It constantly had issues and the dealer wasn't worried about fixing them. I filed for Lemon law protection and the district manager basically told me to screw myself. I sold it and haven't looked back. I will never buy another Hyundai and I will advise all my friends and family to do the same. The cars are decent, when they work.
      charles
      • 7 Months Ago
      Hyundai needs more than the Sonata and Elantra to sustain them. Their SUV's are way overpriced.
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