Hankook Tire posts impressive results in 2017
Hankook Tire has reported consolidated sales of 5.34 billion Euro and an operating profit of 621.8 million Euro in 2017. The sales increased by 2.9% compared to 2016. The expansion of the premium OE segment, increased sales of larger size passenger and SUV tyres starting from 17-inch based on Hankook Tire’s global top-tier technology in Europe and the US and product quality have contributed to the good results, Hankook said.
However, the operating profit decreased by 28%, mainly due to factors such as the increased price of raw materials.
“The sales of high inch tyres (over 17 inches) accounted for 48.4% of the total sales. It is increased by 3.9% in 2017 from the previous year. The company’s achievement is driven by the increased supply of original equipment (OE) tyres as well as tyres for the replacement market (RE), especially in Europe and China. Additionally, increased sales of RE tyres due to strengthened distribution channels in North America and an expanded supply of OE tyres to Japanese companies contributed to a positive sales growth,” a statement from the company said.
In 2018, Hankook Tire plans to focus on strengthening the company’s position as a premium brand through improving competitive products, expanding sales of high inch tyres in major markets and continuous supplying OE tyres for new models of major premium automobile brands.