Net profit reached 195 billion won (US$173 million) on a consolidated basis during the April-June period, compared with a profit of 310 billion won a year earlier, the company said in a regulatory filing. (Image: Yonhap)
SEOUL, Aug. 8 (Korea Bizwire) – Kumho Tire Co., South Korea’s second-biggest tiremaker by sales, said Tuesday that its second-quarter profit declined 26.4 percent from a year earlier on lower demand from major markets.
Net profit reached 195 billion won (US$173 million) on a consolidated basis during the April-June period, compared with a profit of 310 billion won a year earlier, the company said in a regulatory filing.
Operating income also sank 34.4 percent on-year to 204 billion won, with sales falling 3.5 percent to 1.67 trillion won.
Lower demand from the United States and Europe hurt overall sales. Moreover, sharp declines in tire sales in China amid a row over the deployment of the Terminal High Altitude Area Defense system also drove down numbers.
South Korean companies with operations in China have suffered declining sales due to local campaigns against Korean products.
China has opposed the U.S. anti-missile system’s installation in South Korea, arguing its powerful X-band radar could be used against it. Seoul and Washington have said it is aimed at countering missile threats from North Korea.
(Yonhap)
