By Denna Bowman
Hankook tyres announced record-breaking second quarter sales on the back of high-profile motorsport sponsorship and ‘increased recognition’ of the quality of its tyres, especially in the ultra high performance market.
Global sales reached £917 million, a rise of 21 per cent year-on-year and the company’s best ever quarter, according to a report in Tyres and Accessories.
Hankook experienced the greatest growth in the emerging Russian market, where Hankook nearly doubled its sales. In other major territories, sales grew by between a third and a half, with European figures up an impressive 49.8 per cent.
The South Korean tyre manufacturer said its figures demonstrate the “increased recognition” of the quality of its tyres, as the ultra high performance segment outstripped total sales growth in its major markets, most notably in Europe, where the Korean manufacturer sold 89.6 per cent more UHP tyres year on year.
Seung Hwa Suh, Vice Chairman & CEO of Hankook Tire, said: “Hankook Tire continues to achieve a surge in sales in the second quarter, overcoming the various challenges in the current tyre market. Such accomplishments were possible through the global customers’ trust in Hankook’s quality products fulfilled by ongoing R&D efforts. We look forward to building a stronger momentum to become one of the global leading tyre companies in the near future, through continuous focus on enhancing Hankook’s brand value and increasing customer satisfaction.”
Hankook stated that “positive events including the company’s 70th anniversary, new plant investments, and the company’s DTM sponsorship” gave it the momentum to set new sales records in 2011.
“This was also driven by its diversification of markets as well as ongoing efforts to improve productivity and develop new products,” the company’s statement continued.
“Upgraded brand value helped achieve excellent business performance both in the emerging and developed markets. One of the emerging markets Russia had a drastic increase with 96.6 per cent sales growth from last year’s second quarter. Continuous growth was also achieved in Europe, North America, and the Asia Pacific regions, marking 49.8, 36.0, and 43.7 per cent YoY increases respectively.”