Hankook Tire announces Q1 2023 financial results

Saibumi.com (SMSI), Seoul, Korea – The world’s leading tire company Hankook Tire & Technology (Hankook Tire) has announced sales of KRW 2,104.0 billion and operating profit of KRW 190.9 billion, the report is based on global financial results for the first quarter of 2023 Sales and operating profit also increased by 17.5% and 51.5% year-on-year (YoY). May 25, 2023.

Based on an advanced brand strategy that includes increasing the number of high-value products and gaining exclusive sales of electric vehicle (EV) tires, Hankook Tire’s sales and operating profit have increased despite difficult business conditions, such as the downturn for the global economy, great competition. and many more. This success was supported by the increase in original equipment (OE) tires and the strengthening of semiconductor devices and the increase in sales of replacement tires internationally, especially in the European region.

Hankook Tire has thrived in the global electric vehicle market by pioneering technologies and strategies designed for electric vehicles long before the spread of the electric vehicle business. The company now leads the market, increasing the target number of EV tires to about 20% this year of the supply of OE passenger car and truck tires – accounting for 5% in 2021 and 11% in 2022.

In the first quarter, Hankook Tire maintained steady progress by providing premium tires for electric vehicles, including China’s Leapmotor ‘C11 electric SUV’, Volkswagen’s ID electric Mini Van. Buzz’, and Toyota’s first electric SUV ‘bZ4X’.

In addition, the sales share of passenger car tires 18 inches and above – which are value-added products – reached 43.5%, up 4.5% YoY. By region, there was an increase of 4.6%p in Korea (53.9%), 4.0%p in Europe (31.9%), 6.6%p in North America (54.2%), and 7,2%p in China (56.3% ), showing steady growth in the global region.

In 2023 Hankook Tire will continue to maintain its leadership in the EV market with high performance tires. Starting this season, the company has established a partnership as the official partner and exclusive tire supplier for the world championship of electric motor racing, the ABB FIA Formula E World Championship (Formula E). Hankook is also the exclusive tire partner of the Lamborghini Super Trofeo, a racing series organized by the Italian brand Lamborghini. Through this important partnership, Hankook Tire will further enhance its position as the world’s best brand and will continue to collect data to improve research and development.

Hankook Tire, with the goal of increasing sales by more than 5% YoY and reaching 45% of sales for passenger car tires with a size of 18 inches and above, will focus on increasing sales in key markets, strengthening partnerships or collaborations with car manufacturers. up and maintain it. leadership in the electric car market in the car tire segment. In addition, Hankook is also trying to increase the share of OE tire supply for electric vehicles to 20% of the total OE tire supply for passenger cars and light trucks.

Financial Consolidation Results for Q1 2023

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