Famous Tire Companies, Two Factories Losing Money
On July 28, Hankook Tire released its financial report for the second quarter of 2023.
The company's sales for the quarter were 2263.4 billion Korean won (approximately 12.65 billion yuan), an increase of 11% year-on-year.
The operating profit was 248.2 billion Korean won (approximately RMB 1.387 billion), a year-on-year increase of 41.6%.
Hankook Tire said that in the first half of this year, the enterprise faced challenges such as a depressed economic environment.
However, due to the growth in demand in the automotive industry, its global supporting business sales have increased.
At the same time, the demand for tires in the replacement sector has also exceeded market expectations and performed strongly.
During the reporting period, Hantai's sales in major regions such as Europe, North America, and China all increased.
The sales proportion of large-sized passenger tires in the company has increased to 43.6%, a year-on-year increase of 4.5%.
In addition, the stability of raw material and logistics freight prices has improved Hantai's profitability.
The exception is that two local factories in Hantai suffered losses due to fires and strikes.
Hankook Tire predicts that the overall sales volume in 2023 will increase by more than 5% compared with the same period last year.
