Kia shares plunge after new data on car sales
Kia Motors, the Kia brand, is down 8% after new information showed a strong decline in car sales in China.
Kia shares are down 8.9% in after-hours trading after the news.
It’s the worst performance for the brand since August 2015.
Kia had about 9,000 cars on hand in China at the end of July.KIA shares have fallen 7% in the past year, after falling 8.2% in 2016.
In a post on the Kias official website, Kia said the new data was “a blow to our business” and said the company will be implementing measures to mitigate the impact.
Kias stock has dropped about 13% in 2017.
“This disappointing news from Kia comes on the heels of the latest survey that showed that Kia sales were down by over 15% in Q4, which was the worst growth in the company’s history,” said a Kia spokesperson.
“While we remain committed to continuing to drive our core brand into the future, we are taking a number of actions that will further support our customers’ long-term growth and strengthen our global brand identity.”
Kia said that it will work with its dealers and suppliers to continue to develop and support its product portfolio to drive sustainable growth.
Kias shares closed down 5.3% at $23.60 on Monday.
KIA shares are up 4.5% in 2018.