Hankook reports 167% rise in operating profit

Seoul – Hankook Tire has delivered a strong second quarter with both sales and operating profit up sinigificantly compared to the same period last year. 

Operating profit for the three months to end of June was up 167% at KRW187 billion (€138 million), on 32% higher sales of KRW1,800 billion, Hankook reported 4 Aug.

The South Korean tire maker linked the positive development to continued growth in both original equipment (OE) and replacement segments in several major markets, including Europe, North America and China.

In particular, it said, the quarter showed recovery in demand in Europe and the US, as sales saw a ‘huge increase' in Europe and large tires sales grew ‘faster than market demand’ in the US.

Hankook said it has targetted sales of KRW 7,000 billion in 2021, which it said will be achieved through further growth of its large tire sales in major markets and expanding OE partnerships with global premium carmakers. 

Growth in the electric vehicle tire sector will also remain a priority, as the company pushes for both “quantitative and qualitative growth”.