Seoul, Korea/Neu-Isenburg, Germany – Hankook Tire has shrugged off the effects of a sluggish global economy to post a 3.3-percent rise in consolidated sales to KRW 1.72 trillion (€1.25bn) – helped by increased demand for its UHP tire along with an expansion of the company’s OE portfolio.
Operating profit of KRW276 billion, meanwhile, was 9.9 percent above to prior-year level. This reflected increased global demand of Hankook premium tires, the company reported 29 Oct
Over the past three quarters of 2014, sales of UHP tires accounted for around 31 percent of the company’s gross sales revenue, compared to 28.4 percent a year ago.
Hankook also reported sales increases of 15.4 percent and 10.3 percent in Europe and North America, respectively, compared to the second quarter. These gains, it claims, reflected advanced tire performance and quality as well as a strengthened distribution channels in North America.
Hankook also reported progress in the OE market, including an agreement for the supply of the company’s runflat tires for German premium car manufacturers.
The company went on to forecast further business growth through enhanced capabilities, including a new R&D centre in Korea, and project to establish a plant in Clarksville, Tennessee (pictured) in 2016. The US facility is scheduled to reach a production level of 11 million units a year by 2018.