SEOUL, April 25 (Reuters) - South Korea's Hyundai Motor

Co ( HYMTF ) reported on Thursday a drop of 2.4% in

first-quarter profit, as weak domestic sales offset the impact

of a weaker local currency that boosted repatriated earnings.

The world's No.3 automaker by sales along with affiliate Kia

Corp ( KIMTF ) sold 1.5% fewer vehicles, delivering 1.007

million units in the first quarter, as sales in South Korea, its

second-biggest market after the United States, tumbled 16% as

consumers grappled with surging inflation and a weak economy.

Vehicle sales in the U.S. market jumped nearly 10%, tracking

legacy automakers such as General Motors ( GM ) and Ford Motor

Co ( F ) that this week reported strong profit growth thanks to

stable pricing and demand for gasoline-engine vehicles.

Hyundai reported net profit of 3.2 trillion won ($2.32

billion) for the January-March period, down from 3.3 trillion

won a year earlier, but ahead of an average forecast of 3.0

trillion won by LSEG SmartEstimate.

Revenue rose 7.6% to 41 trillion won.

Shares in Hyundai Motor ( HYMTF ) were trading down 0.8%, versus a

fall of 1.3% in the benchmark KOSPI by 0505 GMT.

($1=1,376.4100 won)

(Reporting by Heekyong Yang and Ju-min Park; Writing by Miyoung

Kim; Editing by Clarence Fernandez and Mrigank Dhaniwala)