Kumho Tire posts third-quarter operating profit of 130.5 billion won; sales top 1 trillion won for 12 consecutive quarters

[Financial News] Kumho Tire disclosed on the 29th that it recorded consolidated sales of 1.2374 trillion won and operating profit of 130.5 billion won in the third quarter of this year.
Operating profit rose 20.3% from 108.5 billion won in the same period last year, while the operating margin was 10.5%.
The increase in sales was driven by higher supplies of original equipment (OE) tires for new vehicles, particularly in North America and Europe, as well as broad-based growth in sales of high-margin replacement tires (RE). As a result, Kumho Tire has recorded quarterly sales of at least 1 trillion won for 12 consecutive quarters since the fourth quarter of 2023.
Kumho Tire said the increase in operating profit was attributable to expanded sales in North American and European markets and increased sales of high-value-added products, including high-inch and EV tires. The company said it is boosting sales and profitability by launching premium new products, increasing the share of high-inch tires, and strategically managing its sales regions.
On a cumulative basis, products measuring 18 inches or more accounted for 47.0% of sales. EV tire supplies accounted for 24.6% of global OE sales.
Kumho Tire’s targets in its guidance for this year are annual sales of 5.1 trillion won, a 47% share for high-inch tire sales, and a 30% share for EV tire supplies. A company representative said, “We reached our target for high-inch tires in just three quarters,” adding, “The remaining targets are also progressing without a hitch.”
Kumho Tire said it continues to expand global sales and grow around high-margin products despite ongoing external cost pressures, including U.S. tariff policies and conflicts in the Middle East.
A Kumho Tire representative said, “We plan to move ahead with construction of the Hampyeong and European plants without disruption, fully establishing a global production network linking South Korea, Europe and North America, and to focus our efforts on expanding market share and improving profitability.”

[email protected] Kim Dong-chan Reporter