SEOUL, South Korea—Hankook Tire & Technology Co. Ltd. saw first-quarter operating profit grow significantly, due mainly to external developments such as lower costs.
The South Korea-based tire maker reported a 108.8-percent year-on-year increase in first-quarter operating profit to $295 million (KRW 399 billion), on 1.1-percent higher sales of $1.5 billion.
In an April 30 statement, Hankook linked the improved margins to "external changes" such as the stabilization of raw material prices and freight costs.
"Prices of raw materials such as synthetic rubber and carbon black were maintained at a decent level, as did ocean freight costs, contributing to this quarter's solid performance," the tire maker said.
The company achieved this growth, it said, despite the global economic downturn and tensions in the Middle East.