Kia (000270) Q4 2024 earnings summary

Executive summary

• Q4 2024 sales revenue rose 11.6% year-over-year to W27,148 billion, with operating profit up 10.2% to W2,716 billion and net profit up 8.5% to W1,758 billion.

• Global retail sales increased 5.2% year-over-year in Q4, with notable growth in the U.S. (+19.4%) and Western Europe (+8.0%), while India and China saw declines.

• Electrified vehicle sales share grew in major markets, with HEV and BEV volumes rising, especially in Korea and the U.S.

Financial highlights

• Q4 2024 consolidated sales units reached 725,934, up 5.4% year-over-year.

• Gross profit margin was 21.2%, slightly down from 21.9% a year ago.

• Cost of sales ratio increased to 78.8%, while SG&A expense ratio improved to 11.2%.

• Non-operating income declined, with a loss of W313 billion compared to a gain of W61 billion in Q4 2023.

• Full-year 2024 sales revenue grew 7.7% to W107,449 billion, operating profit up 9.1% to W12,667 billion, and net profit up 11.6% to W9,791 billion.

Outlook and guidance

• 2025 wholesale volume guidance is 3,216k units (+4.1% YoY), with sales revenue projected at W112.5 trillion (+4.7%).

• Operating profit margin expected to decrease slightly to 11.0% in 2025.

• New model launches in 2025 include EV4, EV5, PV5 (BEVs), Carens EV, Syros (ICE), and Tasman (pickup).

• Electrified vehicle sales mix targets: Korea 52%, U.S. 25%, W. Europe 49% for 2025.