Seoul: Hanon Systems Co., a South Korean auto parts maker, reported a net loss of 22.6 billion won (US$16.2 million) in the first quarter, marking a reversal from a profit of 10.1 billion won in the same period the previous year. The announcement was made through a regulatory filing on Thursday.

According to Yonhap News Agency, the company recorded an operating profit of 20.9 billion won for the quarter, a significant decrease from the 66.4 billion won operating profit reported a year ago. Despite the financial downturns in profit, sales experienced an increase, rising by 8.9 percent to reach 2.61 trillion won.

The net loss exceeded analysts' expectations, coming in 52 percent higher than the average estimate based on a survey conducted by Yonhap Infomax, the financial data firm of Yonhap News Agency.