Driven by the expansion of high-value-added products and a strong pricing strategy, premium tyre manufacturer Hankook has reported a consolidated global sales at an all-time high of $6.79 billion (approx KRW 8,394.2 billion)
The Korean major’s operating profit stood at around $568.32 million (KRW 705.7 billion), Hankook said while adding sales and operating profit increased by 17.5% and 9.9%, respectively on a year-on-year basis.
Hankook claimed that the expansion of high-value-added products and strong pricing strategy propelled record sales despite challenging global market conditions, which saw high raw material costs and global supply chain disruptions in the first half of the year.
“As costs of raw materials and logistics stabilised in the second half of 2022, a favourable currency situation and an increase in original equipment tyre demand boosted the bottom line for the year,” the company said in a release.
As per the Korean major, sales of large-diameter tyres were among the biggest contributors to the increase in sales.
Global sales of passenger car tyres 18 inches or higher accounted for 40.8 % of the company’s total passenger car tyre sales, up 3.1 percentage points on a year-on-year basis.
Electric Vehicle
Hankook also boosted its presence in the electric vehicle (EV) market in 2022.
The iON range, Hankook’s first family of tyres specially designed for high-performance, premium electric vehicles, was rolled out in several markets.
Hankook secured OE supply deals for several global carmakers’ EV models, including Audi Q4 e-tron, BMW i4, Hyundai IONIQ 6, Škoda Enyaq iV and Toyota bZ4X.
Furthermore, Hankook made its debut as an exclusive technical partner and tyre supplier of the world’s first all-electric racing series, the ABB FIA Formula E World Championship.