1. HD Hyundai Infracore’s Q1 Earnings Slump: Why?
HD Hyundai Infracore’s Q1 2025 earnings saw declines in both revenue and operating profit due to a slowdown in the construction market and exchange rate fluctuations. Both the construction equipment and engine divisions recorded poor performance. The details are as follows:
- Revenue: KRW 1.0185 trillion (down 12.0% YoY)
- Operating Profit: KRW 67.8 billion (down 26.9% YoY)
- Net Income: KRW 39.8 billion (down 40.9% YoY)
2. Share Buyback Halt: What Does it Mean?
HD Hyundai Infracore recently terminated its treasury stock acquisition agreement, halting its share buyback program. While this could negatively impact the stock price in the short term, it could be a strategic move for long-term liquidity and future investments. Investors should pay close attention to the company’s future capital utilization plans.
3. Investors: What Should You Do Now?
Instead of reacting to short-term stock price volatility, investors should carefully assess the company’s mid-to-long-term growth potential. HD Hyundai Infracore maintains a stable financial structure, continues to invest in R&D, and has the potential for a stock rebound based on new order growth and technological advancements. It’s crucial to consider macroeconomic indicators and the construction equipment market recovery trend when formulating an investment strategy.