Hankook Tire & Technology has reported robust financial results for the second quarter of 2024, showcasing resilience amidst global market challenges. The company’s revenue reached KRW 2.318 trillion (approximately USD 1.76 billion), marking a 2.4% increase from the same period last year and a 9.0% rise from the previous quarter. Operating profit also surged by 69.2% year-on-year to KRW 420 billion (around USD 318.5 million), with an operating profit margin of 18.1%.
The company’s success was attributed to a strategic focus on high-margin products and a stable pricing environment, along with reduced freight costs and lower raw material prices. Despite a downturn in the global Original Equipment (OE) market due to decreased vehicle production, Hankook’s Replacement Equipment (RE) sales saw growth, particularly in Korea and Europe. Sales of tires 18 inches or larger accounted for 46.3% of Passenger Car and Light Truck (PCLT) sales, a 2.8 percentage point increase year-on-year.
In response to fluctuating demand, Hankook plans to launch new products, including premium comfort and electric vehicle tires. The company is also strengthening its collaborations with global automakers and focusing on sustainable growth, aiming to further increase its market share in the high-value tire segment.
