Hankook Tire announced second quarter global consolidated sales of $1.2 billion marking a record a 13 per cent year-over-year increase. The company’s second quarter operating profit also jumped 22.7 per cent to $155 million thanks to growth from emerging markets despite rising raw material costs.
These Q2 earnings follow surprisingly strong results in the first quarter of 2010 for the Korean-based tire company.
“Hankook Tire continued to have robust growth in the second quarter,” said Seung Hwa Suh, vice chairman and CEO of Hankook Tire.
“With a positive outlook, we look forward to building stronger momentum during the second half through our ongoing focus on enhancing Hankook’s brand value, increasing customer satisfaction, and expanding our OE tire supply to premium automakers.”
Officials say the record-breaking figures were driven by “excellent business performance” in the emerging markets such as the CIS region, Latin America, backed by stable growth in North America, China, and Europe.”
In Canada, Hankook says it continued to perform well and leverage its new Western Distribution centre to continue to increase its share of the market.
Sales in Korea, China and Hungary recorded the highest ever in second quarter 2010 and increased demand for Hankook’s UHP tires contributed to sales growth.
Hankook is the seventh largest and one of the fastest growing tire manufacturers in the world. Currently selling in over 180 countries around the world, the company has more than 14,000 employees. Approximately 70 percent of its revenue comes from growing overseas sales.