Seoul, Korea – Hankook Tire has posted a slight dip, almost 1%, in first quarter operating profit to €187.9 million on consolidated sales of €1.333 billion, 7.9% higher than in the same period last year.
In a 3 May statement, the Korean tire maker linked the higher revenues to an “impressive sales performance of ultra high performance (UHP) tires and an overall sales increase across different regions.”
Sales of UHP tires grew by 1.4% year-on-year, accounting for 36.7% of total sales generated during the first quarter. Sales to this segment lifted by 11% and 26% year-on-year in Europe and China, respectively.
Gains in both regions were driven mainly by increased supply of OE tires and the continued strong sales of replacement tires, stated Hankook.
Looking forward, the company said it is planning to expand sales of UHP and larger size tires starting from 17-inch, as future demand is expected to increase.
“All in all, while continuing to promote its global brand value and technology leadership, Hankook Tire will sharpen its competitive edge in premium tires,” said its statement.