Hyundai Glovis reported an operating profit of 495 billion won for the second quarter of this year, surpassing market expectations. The company attributed its strong performance to the expansion of its global supply chain, which also led to record sales for the quarter.
In a conference call on July 23, Hyundai Glovis announced that its second-quarter sales reached 8.7054 trillion won, a 15.8% increase compared to the same period last year, marking the highest quarterly sales in its history. The operating profit was 495 billion won, reflecting an 8.1% decrease from the previous year, with an operating profit margin of 5.7%.
Despite rising geopolitical tensions, including factors in the Middle East, Hyundai Glovis credited its stable global supply chain management capabilities for its solid results.
A company representative stated, “The temporary decline in profitability due to short-term oil price increases is something we can recover from in the second half of the year. We will strengthen our business competitiveness based on our consistent profit capacity.”
Looking at performance by business segment, the logistics sector recorded second-quarter sales of 2.8558 trillion won and an operating profit of 191.8 billion won. Sales increased by 10.3% compared to the same period last year, driven by growth in non-affiliated operations and North American inland transportation volumes. However, operating profit decreased by 5.9% due to lower contract rates influenced by container market conditions.
The shipping business reported sales of 1.6441 trillion won and an operating profit of 130.9 billion won. Sales increased by 20.9% year-on-year, while operating profit fell by 34.6%. Although sales rose due to increased volumes from non-affiliated manufacturers in China, profitability was constrained by rising oil prices linked to geopolitical risks in the Middle East. The temporarily reduced operating profit is expected to gradually recover as freight rates stabilize in the second half of the year.
Hyundai Glovis explained, “The decrease in operating profit is due to the timing of cost recognition rather than a change in business competitiveness. The volume of finished vehicle maritime transport remains robust.”
In the retail sector, sales reached 4.2055 trillion won, with an operating profit of 172.3 billion won, representing increases of 17.9% and 27.8%, respectively, compared to the previous year. The strong performance was influenced by the commencement of CKD exports to assembly plants in emerging markets and growth in trading activities due to increased non-ferrous metal volumes.
Meanwhile, Hyundai Glovis's total sales for the first half of 2026, including the second-quarter results, amounted to 16.5181 trillion won, with an operating profit of 1.1165 trillion won.
* This article has been translated by AI.
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