Hankook Tire & Technology reported significant revenue growth driven by strong sales of high-value tires. The company announced a 58.1% increase in operating profit compared to the same period last year.
On August 11, Hankook Tire revealed that its global consolidated revenue for the second quarter reached 5.68 trillion won, with an operating profit of 559 billion won. This marks a year-on-year increase of 5.8% and 58.1%, respectively.
Revenue from the tire segment rose to 2.8 trillion won, an 11.8% increase from the previous 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, sales of high-value products, including tires with a diameter of 18 inches or more and electric vehicle-specific tires, reached record levels for the quarter.
In the second quarter, tires with a diameter of 18 inches or more 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 increased to 31.8%, nearing the annual targets of 51% for high-inch tires and 33% for electric vehicle-specific tires.
Regionally, growth in demand for original equipment (OE) tires and replacement tires (RE) in key markets such as Europe and China drove the sales increase. 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 efforts in the global market.
* This article has been translated by AI.
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