Wayne, NJ – Hankook Tire announced its financial results for the fiscal year 2012 with an exceptional sales record of KRW 7.029 trillion ($6.418 billion), asserting a year on year increase of 8.3 percent. The company’s operating profit for the same fiscal year has also achieved a robust increase to KRW 912.9 billion ($833.5 million) at 57.9 percent year on year. Despite a stagnant global economic situation during 2012 accompanied by the Euro-zone financial crisis, Hankook Tire was able to set a global sales record largely attributing to a sharp increase in sales performance of the company’s ultra-high performance tires as well as the enhanced brand equity as a premium tire manufacturer.
Demand for Hankook Tire’s UHP tires continued its hot streak, evident in its accumulated global sales performance revealing a healthy growth at the rate of 30.2 percent year on year. In particular, the UHP tire sales in emerging markets including Russia, CIS and Latin America led the growth, collectively achieving an 86.5 percent increase year on year. Expansion of the original equipment fitment portfolio highlighted by growing partnerships with premium automakers also contributed significantly to the company’s sales record.
Hankook Tire’s OE supply contracts to global premium automakers jumped by 27.6 percent year on year, led by factory-installation of UHP tires to BMW New-1 and -3 Series, Lincoln MKZ, as well as Audi, Volkswagen and Chrysler brands. In China, OE fitment contracts to Audi alone more than doubled registering a year on year increase of 156 percent. Hankook Tire also saw impressive growth in the United States recording sales of $1.2 billion in 2012, an increase of 20 percent over 2011. Increased brand recognition and demand, both in the areas of replacement and original equipment tires, was a leading factor to this growth.
Source: Rubber World
