Kumho Tire Sees 24% Jump in Second-Quarter Operating Profit

Kumho Tire has reported a 24% rise in second-quarter operating profit, driven by increased original equipment (OE) supply in North America and Europe, as well as higher sales of replacement tires. The Korean tire maker posted consolidated sales of KRW1,332 billion (€810 million), up 9% from the previous year. Operating profit for the quarter ended June 30 rose to KRW182.2 billion, marking the 11th consecutive quarter that the company has exceeded KRW1,000 billion in sales. Kumho attributed the growth to its strategic product mix, including new premium products and high-inch tires, particularly in Europe where it recorded its highest-ever quarterly sales of KRW421 billion. The company also saw an increase in sales of high-margin products, such as high-inch and electric vehicle (EV) tires, with the proportion of high-inch products reaching 47% and the supply share of EV tires based on global OE sales reaching 25.1%. Despite facing cost-increasing factors like US tariff policies and Middle East conflicts, Kumho aims to achieve its target of KRW5.1 trillion in revenue, a 47% share of 18-inch high-inch product sales, and a 30% share of EV tire supply in 2026. The company plans to proceed with the construction of its Hampyeong and European plants to establish a global production system.