Hankook Tire Announces 2020 Q2 Financial Results
- Over 18 inch high-inch tire sales account for 32.6% among passenger car tires, gaining 1.1%p YoY
- Joint effort led by the labor union and management to overcome challenging market environment
Seoul, Korea, August 3, 2020 – Global leading premium tire maker Hankook Tire announced today the company’s 2020 Q2 financial result with consolidated global sales of KRW 1.37 trillion and an operating profit of KRW 70.1 billion.
Despite global economic slowdown due to the COVID-19 pandemic, Hankook once again posted an operating surplus following Q1. Hankook has been solidifying its position in the global industry with its advanced technology and competitiveness in the premium tire market. Sales of high-inch tires - 18 inches or higher - accounted for 32.6% of the sales of tires for passenger cars, up 1.1%p YoY. Growth of high-inch tires in major markets including South Korea and China was stable.
Hankook is firmly establishing its presence in the electric vehicles sector. The company has recently been selected to be the Gen3 tire partner of the ABB FIA Formula E World Championship. In the OE sector, Hankook announced that it is supplying original equipment tires for Porsche’s electric sports car, Porsche Taycan.
Furthermore, the company is laying down the building blocks to overcome the COVID-19 crisis by joining forces throughout the company, with labor unions delegating all authority over wage adjustments to the company and executives voluntarily returning 20% of their salaries from May until business is normalized.
Moving forward, Hankook plans to further solidify its standing as a premium brand by expanding the portfolio of high-inch tires in major markets, supplying OE tires for premium cars and strengthening product competitiveness. It will also provide a bridgehead for gradual sales improvement by optimizing distribution strategies for each region, including a diversified product portfolio and continuous expansion of sales channels based on global production and distribution networks, to help the company overcome the difficult market environment.
Q2 2020 Consolidated Financial Result
|(Unit: Billion KRW)||Q2 FY 2019||Q1 FY 2020||Q2 FY 2020|
|(Unit: Million USD)||Q2 FY 2019||Q1 FY 2020||Q2 FY 2020|
|(Unit: Million EUR)||Q2 FY 2019||Q1 FY 2020||Q2 FY 2020|
|Q2 FY 2019||Q1 FY 2020||Q2 FY 2020|
|USD / KRW||1,165.91||1,193.60||1,220.87|
|EUR / KRW||1,309.91||1,316.58||1,344.74|