Hankook Tire & Technology reported significant revenue growth driven by strong sales of high-value tires. The company's operating profit increased by 58.1% compared to the same period last year.
On August 11, Hankook Tire announced that its consolidated revenue for the second quarter reached 5.68 trillion won, with an operating profit of 559 billion won. This marks increases of 5.8% and 58.1%, respectively, from the previous year.
Revenue from the tire segment rose to 2.81 trillion won, an 11.8% increase year-on-year, while operating profit in this segment grew by 39.5% to 483.2 billion won.
Thanks to a strategy focused on premium and electrification products, sales of high-value items, including tires with a diameter of 18 inches or more and electric vehicle-specific tires, reached record levels for a single quarter.
In the second quarter, high-inch tires accounted for 49.5% of sales in the passenger car and light truck tire segment. The share of electric vehicle-specific tires in new car tire sales also rose to 31.8%, nearing the annual targets of 51% for high-inch tires and 33% for electric vehicle tires.
Regionally, growth in key markets such as Europe and China was driven by increased supply of original equipment (OE) tires and rising demand for replacement tires (RE). In China, the replacement cycle for electric vehicle tires has begun, further boosting sales.
Hankook Tire's subsidiary, Hankook Systems, reported revenue of 2.87 trillion won and an operating profit of 103.7 billion won during the same period, returning to profitability.
Looking ahead, Hankook Tire plans to expand its global production and supply capabilities through the expansion of its factories in Tennessee, USA, and Hungary, Europe. The company aims to increase the supply of new car tires, particularly in the U.S. and Europe, and accelerate its global market penetration.
* This article has been translated by AI.
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