Hankook Tire’s Profit Rises 13 Per Cent

South Korea’s leading tyremaker Hankook Tire Co. said that first-half earnings rose more than 13 per cent from a year ago on increased exports and sales of high-end products. Net profit came to 114.4 billion won ($112.5 million) in the January-June period, up 13.1 per cent from a year earlier, the company said in a regulatory filing.

Revenue gained 9.5 per cent to 999.7 ($986.4 million) billion won, a record first-half showing, with operating income climbing 5.5 per cent to 139.6 billion won ($137.7 million). Hankook Tire said first-half sales did not cover its Chinese operations. Hankook Tire attributed the impressive first-half performance to a rise in exports and shipments of UHP (ultra-high performance) tyres.

Exports surged 24 per cent from a year ago to $531 million in the first half, and sales of UHP tyres shot up 42.6 per cent, the company said. The tyre manufacturer was optimistic about achieving its targets of 2.01 trillion won ($1.983 billion) in sales and $1 billion in exports.

“We usually export more tyres in the second half,” a company official said. “The targets are within our reach thanks to strong demand in the United States and Europe as well as increased tyre prices.”