Seoul: Hyundai Mobis Co., South Korea's premier auto parts manufacturer, announced a significant 13.5 percent increase in its net profit for the second quarter, aided by strong sales of high-end components and the favorable impact of a weak won.

According to Yonhap News Agency, the company's net profit for the quarter ending in June climbed to 1.06 trillion won (US$721.9 million), up from 932.4 billion won in the same period last year. The company credited the increase to strong demand from global automakers and enhanced shipments of higher-margin core components, including automotive electronics, which bolstered quarterly earnings despite a decline in sales of parts for electric vehicles.

Hyundai Mobis further stated that the depreciation of the won against the U.S. dollar significantly bolstered its earnings. A weaker won enhances the value of exporters' dollar-denominated revenues when converted back into the local currency, thereby supporting the company's financial performance.

Operating profit for the quarter rose 12.1 percent to 975.2 billion won, up from 870 billion won a year earlier, while sales grew by 2.4 percent, reaching 16.32 trillion won compared to 15.93 trillion won previously. The company reaffirmed its commitment to enhancing its competitiveness in future mobility through continued investment in production facilities, with a budget of 2.16 trillion won allocated for research and development (R and D) this year.

In the first half of the year, Hyundai Mobis invested 950.8 billion won in R and D to secure essential mobility technologies. However, for the January to June period, the net profit experienced a slight decline of 1.16 percent from the previous year, totaling 1.94 trillion won. In contrast, operating profit rose by 7.96 percent to 1.78 trillion won, and sales increased by 3.9 percent to 31.89 trillion won.