Hankook Tire’s operating profit hits \1 trillion for first time

Hankook Tire, the nation’s largest tire manufacturer, recorded an operating profit of more than 1 trillion won ($927.4 million) for the first time in 2013, thanks to rising sales of its ultra high performance tires (UHPT).

The company said yesterday that its operating profit increased 12.2 percent year-on-year to 1.03 trillion won last year. Sales gained 0.3 percent to reach 7.06 trillion won.

Hankook said sales of its UHPT increased 3.4 percent year-on-year, accounting for 26.5 percent of its total sales. The company said UHPT sales grew most in China and Europe.

This year, the tire maker said it’s aiming for 7.74 trillion won in sales, up 9.7 percent from 2013, and an operating profit of 1.08 trillion won.

It also wants to produce 95 million tires. The company plans to expand production in Indonesia and Hungary while starting construction of a new plant in the United States in the second half of 2014.