Hyundai Motor India Beats Profit Forecasts on Robust SUV Demand

Hyundai Motor India reported a smaller-than-expected decline in fourth-quarter profit on Friday, driven by robust domestic and export demand for its high-margin SUVs.

The Indian unit of South Korea's Hyundai Motor posted a consolidated profit of 12.56 billion rupees ($132.96 million) for the quarter ended March 31, compared to 16.14 billion rupees a year earlier.

Analysts had forecast a drop to 12.37 billion rupees.

Improved vehicle sales in India, following a tax cut last September, have boosted showroom traffic and pricing power, supporting Hyundai's performance.

Hyundai's total sales rose 8.7% for the quarter, while exports jumped 9.4%, led by strong demand for the Creta SUV, helping it fend off competition from Mahindra.

This helped the automaker offset the impact of elevated commodity prices amid the Iran war.

Quarterly revenue grew 5.4% to 189.16 billion rupees.