May 2017 - Hyundai Cars, Sedans, SUVs, Compacts, and Luxury

[Pages:28]Investor Presentation

May 2017

Cautionary Statement with Respect to Forward-Looking Statements

In the presentation that follows and in related comments by Hyundai Motor's management, our use of the words "expect," "anticipate," "project," "estimate," "forecast," "objective," "plan," "goal," "outlook," "target," "pursue" and similar expressions is intended to identify forward looking statements. The financial data discussed herein are presented on a preliminary basis before the audit from our Independent Auditor; final data will be included in HMC's Independent auditor's report. While these statements represent our current judgment on what the future may hold, and we believe these judgments are reasonable, actual results may differ materially due to numerous important factors. Such factors include, among others, the following : changes in economic conditions, currency exchange rates or political stability; shortages of fuel, labor strikes or work stoppages; market acceptance of the corporation's new products; significant changes in the competitive environment; changes in laws, regulations and tax rates; and the ability of the corporation to achieve reductions in cost and employment levels to realize production efficiencies and implement capital expenditures at levels and times planned by management. We do not intend or assume any obligation to update any forward-looking statement, which speaks only as of the date on which it is made.

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Table of Contents

? Key Strengths for HMC ? Future Strategies ? Shareholder Value ? Appendix

2

1. Balanced Growth

Global Sales Trend

(Unit: 1,000 vehicles)

3,701

4,099

4,392

4,621

4,835

4,843

4,914

2010

2011

2012

2013

2014

Source : Company data (Retail sales excluding CKD sales)

2015

2016

Brand Value Growth

(Unit: US$ in Billions)

25

20

15

9.3%

10

5

5.0

0

2010

Focus on Value Growth Strategy

(U$ 5B in `10 12.5B in '16, 149%)

19.3%

24.4%

20.5%

15.6%

8.5%

6.0

7.5

9.0

10.4

11.3

2011

2012

2013

2014

2015

30

25

20

11.1%

15

10

12.5

5%

0%

2016

HMC Brand Value (Billion US$)

HMC Value Growth (%)

Source : Interbrand

Initial Quality Study

(Unit: number of problems per unit)

9

5

1

107

106

94

(Ranks among non-premium)

2

2

Vehicle Dependability Study

(Unit: number of problems per unit)

14

16

15

95

92

169

188

141

(Ranks among non-premium)

9

3

158 133

2012

2013

Source : J.D. Power 4

2014

2015

2016

2013

2014

Source : J.D. Power

2015

2016

2017

2. Balanced Sales Growth through Global Manufacturing Plants

9 manufacturing plants ( ), 6 R&D facilities ( ), 14 direct sales subsidiaries ( ), sales in more than 200 countries globally

2016. 1Q

2017. 1Q

(Unit: 1,000 vehicles)

+9.3% 119 131

EU

-18.9% 97 79 Middle East and Africa

-14.4% 240 206

China

+9.3% 111 121

India

+0.7% 161 162

Korea

-3.1%

'16. 1Q '17. 1Q

-2.6% 173 169

US

1,108 1,074

Worldwide

+10.4%

74 81 LatAm

Czech Plant

Russia Plant

Source: Company data (Retail sales excluding CKD sales)

5

Turkey Plant

India Plant

China Plant

US Plant

Brazil Plant

2. Balanced Sales Growth by Diversified Business Portfolio

Geographically Diversified Portfolio (%)

Marketable Product Mix* (%)

Hyundai 13.6

18.9

14.8

23.4

14.4 15.0

Hyundai

51.8

15.9

28.2

4.2

VW 13.1 6.6

28.7

40.4

3.2 7.9

GM

32.0

2.8 12.8

37.5

3.8 11.1

Toyota

22.1

27.2

9.0 13.2

16.4

12.1

Honda 14.1

36.9

3.8

25.3

13.5 6.5

0

20

40

60

80

100

Domestic North America Europe China Asia (ex-China) Others

VW

60.6

17.2

17.2 5.0

GM

31.5

11.2

31.0

26.3

Toyota

40.1

11.6

35.2

13.0

Honda

41.0

12.3

0

20

40

60

A+B+C

D+E+F

RV

45.6

1.0

80

100

Others

Source: Company data for HMC 2016 Global Retail Sales, Competitor information from IHS (CY2016 data) *A+B+C=Mini+Sub Compact+Compact; D+E+F=Mid-Size+Large+Luxury; RV=SUV+MPV; Others=PUP and others; excluding HCVs

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3. Brand Enhancement

Enhancement in Brand Value

(Unit: US$ in Millions)

(Ranks)

+16%

+11% +8%

35 39 40

+20%

43

12,547

+24%

53

+19% 61

65 6,005

7,473

9,004

10,409

11,293

5,033

2010

2011

2012

2013

2014

2015

2016

Brand value has increased an average of 16% each year, since the implementation of Modern Premium in 2011.

Source: Interbrand

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Awards and Accolades

Date

`17.02

Titles

iF Design Award 2017

'17.01 '17.01 `17.01 '16.12 '16.12 `16.11 `16.11 `16.10 `16.09 `16.08 `16.07 `16.05 `16.03 `16.02 `16.01

Executive Sedan Of The Year

Car of the Year Awards 2017 (Best Small Hatch)

BESTRIDES OF 2016 (compact crossover/SUV)

Top rank in Auto Bild's Quality Report

2017 10 Best Engines Award Achieved maximum 5-star safety

rating from Euro NCAP N. America Car & Truck of Year

Top 3 Nominees 5 Star Safety Rating

Best Luxury Sedan Award

Best Buy 2016

Int'l Design Excellence Awards

2016 SUV of the Year

Red Dot Design Award

Drivers' Choice Award

2016 Car of The Year

Regions

Germany

Models

i30

India

Elantra

U.K.

IONIQ

U.S.

Santa Fe Sport

EU

Hyundai

U.S.

1.4L Kappa Turbo Engine

EU

IONIQ

U.S. U.S. U.S. Brazil U.S. France Germany U.S. U.K.

G90 G80 G90 HB20 Elantra Tucson IONIQ Tucson i10

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