Press Release

  • Corporate

Hankook announces 2023 financial results

  • The company marked its best performance ever, with 6.5 percent growth in sales and 88.1 percent in operating profit YoY
  • Chairman Hyunbum Cho’s leadership on premium strategies and investments in research and development has played a key role in driving success
  • Quantitative and qualitative growth is attributed to the expansion of high-value products in key markets, including EVs and premium OE
Hankook announces 2023 financial results

Seoul, Korea / Neu-Isenburg, Germany, 2 February 2024 – Premium tyre manufacturer Hankook has announced sales of KRW 8,939.6 billion (approx. EUR 6,329.5m) and an operating profit of KRW 1,327.9 billion (approx. EUR 940.1m) based on global consolidated financial results for 2023.

Despite the global economic downturn, these figures represent Hankook Tire’s best performance since its establishment – with a year-on-year (YoY) increase of 6.5 percent in sales and 88.1 percent in operating profit. These results solidify its position as a prominent, top-tier global brand. In the fourth quarter of 2023, sales and operating profit reached KRW 2,232.0 billion (approx. EUR 1,570.2m) and KRW 492.4 billion (approx. EUR 346.4m), respectively.

The robust performance is the result of premium brand strategies as well as sustained, proactive investment in research undertaken to adapt to future mobility trends. All of this has taken place under the leadership of Hankook Tire Chairman Hyunbum Cho.

The unprecedented figures stemmed in part from the expansion of Hankook’s “iON” brand, the world’s first full line-up of electric vehicle (EV)-exclusive tyres. The company’s strong performance was also fuelled by strengthening the supply of tyres for supercars and global premium brands. A further factor was increasing sales of high-inch passenger car tyres (18 inches and above), representing new levels of diversification for the high-value portfolio.

In addition, despite decreases in the cost of raw materials such as synthetic rubber and carbon black – as well as in maritime freight costs, the company was able to maintain competitive prices. This, too, contributed to performance improvements.

Hankook has been continuously expanding its sales and line-up since introducing iON to the global market. At the same time, the company is the exclusive technical partner and tyre supplier of the world’s leading EV racing competition, the ABB FIA Formula E World Championship. Hankook leads the global EV tyre market through its innovative, highly specialised technology accumulated over many years, pre-dating the widespread commercialisation of EVs.

As a worldwide industry leader, Hankook has cemented its position as a premium tyre manufacturer by supplying approximately 250 OE tyre models to roughly 40 global car brands, including Audi, BMW, Mercedes-Benz, Porsche, and Tesla.

 

2023 Consolidated Financial Results

(Unit: Billion KRW)

FY 2022

FY 2023

Sales

8,394.2

8,939.6

Operating Profit

705.8

1,327.9

(Unit: Million USD)

FY 2022

FY 2023

Sales

6,496.2

6,848.1

Operating Profit

546.2

1,017.2

(Unit: Million EUR)

FY 2022

FY 2023

Sales

6,184.3

6,329.5

Operating Profit

519.9

940.1

 

Exchange Rates:

 

FY 2022

FY 2023

USD / KRW

1,292.16

1,305.41

EUR / KRW

1,357.34

1,412.36

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

 

 

Q4 2023 Consolidated Financial Results

(Unit: Billion KRW)

Q4 FY 2022

Q3 FY 2023

Q4 FY 2023

Sales

2,263.8

2,340.0

2,232.0

Operating Profit

212.0

396.3

492.4

(Unit: Million USD)

Q4 FY 2022

Q3 FY 2023

Q4 FY 2023

Sales

1,665.4

1,784.9

1,689.8

Operating Profit

155.9

302.3

372.7

(Unit: Million EUR)

Q4 FY 2022

Q3 FY 2023

Q4 FY 2023

Sales

1,631.8

1,638.4

1,570.2

Operating Profit

152.8

277.4

346.4

 

Exchange Rates:

 

Q4 FY 2022

Q3 FY 2023

Q4 FY 2023

USD / KRW

1,359.26

1,310.95

1,320.84

EUR / KRW

1,387.29

1,428.19

1,421.43

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

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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Hankook announces 2023 financial results

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Contacts

Sabine Riedel

PR Manager Marketing Communications

 +49 (0) 6102 8149-178

Lisa Schmid

PR Manager Marketing Communications

+49 (0) 6102 8149-172

Alexander Nevinny-Stickel

PR Manager Marketing Communications

+49 (0) 6102 8149-173

Annika Malcherek

Annika Malcherek

Digital Lead Marketing Communications

+49 (0) 6102 8149-176

Zoë Baldwin

Marketing Manager
Hankook Tyre UK Ltd

 +44 7948 247048

Natasha Ramos Smyth

Marketing Executive
Hankook Tyre UK Ltd

 +44 7961 601839

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