Hankook Tire Announces Second Quarter 2017 Financial Results

Hankook Tire achieves global sales revenues of KRW 1.667 trillion and an operating profit of KRW 203.7 billion in the second quarter of 2017. Sales of Ultra High Performance Tires (UHPT) with global top tier technologies increased. UHPT sales accounted for 36.9% of total sales, marking a 1.7% increase in comparison to the same period last year.

Seoul, Korea / Neu-Isenburg, Germany, August 9, 2017 – Premium tyre maker Hankook reported its financial results for the second quarter of 2017 with global sales of KRW 1.667 trillion (1.341 billion Euro) and an operating profit of KRW 203.7 billion (163.9 million Euro).

Hankook Tire’s 2Q sales increased by 1.7 per cent compared to the previous quarter, while its operating profit decreased by 12.3 per cent. Compared with the same period last year, overall sales and operating profit decreased by 3.5 per cent and 34.4 per cent respectively. The decline in operating profit is mainly due to the increased price of raw materials.

In contrast, Hankook Tire’s quarter-on-quarter sales revenue increased, with growth outpacing the market. Sales in the Ultra High Performance Tire (UHPT) segment have also continuously grown. UHPT sales ratio increased by 1.7 per cent, accounting for 36.9 per cent of total sales generated during the second quarter. Hankook Tire is planning to expand the UHPT segments and respond flexibly to the changes in the automobile industry.

Q2 2017 Consolidated Financial Result

(Unit: Billion KRW)	Q2 FY 2016	Q1 FY 2017	Q2 FY 2017
Sales	1,727.4	1,639.2	1,666.8
Operating Profit	310.3	232.2	203.7

(Unit: Million USD)	Q2 FY 2016	Q1 FY 2017	Q2 FY 2017
Sales	1,484.9	1,420.1	1,475.8
Operating Profit	266.7	201.2	180.4

(Unit: Million EUR)	Q2 FY 2016	Q1 FY 2017	Q2 FY 2017
Sales	1,315.4	1,333.2	1,341.1
Operating Profit	236.3	188.9	163.9

*Exchange Rates

	Q2 FY 2016	Q1 FY 2017	Q2 FY 2017
USD / KRW	1,163.30	1,154.28	1,129.43
EUR / KRW	1,313.26	1,229.54	1,242.84

(NOTE: Average exchange rates for the given annual period, retrieved from Korea Exchange Bank)

About Hankook Tire

Hankook Tire manufactures globally innovative, award-winning radial tyres of proven superior quality for passenger cars, light trucks, SUVs, RVs, trucks, and buses as well as motorsports (circuit racing/street circuits/rallies).

Aspiring to bring consumers the utmost excellence in product quality, technological excellence and driving satisfaction, Hankook Tire continuously invests in research and development maintaining five R&D centres and eight production facilities around the world. Bespoke tyre solutions for the European markets as well as European Original Equipment according to the requirements of leading premium car manufacturers, are developed in the company’s regional Technical Centre in Hanover/Germany. Production for the European region is taking place in the state-of-the-art manufacturing site in Rácalmás/Hungary which was inaugurated in June 2007 and is continuously being expanded.

Hankook Tire’s European headquarters are located in Neu-Isenburg near Frankfurt am Main in Germany. The manufacturer operates further branches in several European countries and sells its products through regional distributors in other local markets. Hankook Tire employs approximately 20,000 people worldwide and sells products in over 160 countries. The company has been the technical partner and exclusive tyre supplier of the Generation 3 for the FIA ABB Formula E World Championship since 2023. Internationally leading car manufacturers rely on tyres made by Hankook for their original equipment. Approximately 38 percent of the company's global sales are generated within the European region.

For more information please visit www.hankooktire-mediacenter.com or www.hankooktire.com

Hankook Tire Europe GmbH | Marketing Communications Europe | Siemensstr. 14, 63263 Neu-Isenburg | Germany

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