Hankook Tire has announced its global financial results for the fourth quarter of 2016 with consolidated sales of $1.33bn and an operating profit of $205m. The company reported total sales revenues of $5.5bn and an operating profit of $916.8m for the total fiscal year 2016, a year-on-year increase of 24.7%.

The South Korea-based global tyre maker, which operates in the passenger, commercial and heavy machinery tyre segments, attributed the figures to continuous original equipment (OE) supply for models of premium global brands based on Hankook Tire’s global top-tier technology and product quality. An increased sales volume in the Replacement Tyre (RE) segment, especially in the Ultra High Performance Tyre (UHPT) segment including sales of winter tyres in Europe, added up to a consistent upward trend, said the manufacturer in a statement, adding that it managed to secure balanced growth through also increasing OEM sales in the Chinese market.

Revenue from UHPT sales accounted for 33.5% of the total sales in the fourth quarter, marking a 0.7% increase in comparison to the same period of last year, the statement added. With regard to 2016’s total sales, the sales revenue of UHPT came to 34.5%.

With this year’s goal of reaching global sales revenues of $6bn, Hankook Tire plans to focus on expanding sales in the UHPT segment as well as in the OE segment for new premium car models in order to strengthen its brand value. Moreover, the company will further enhance its presence in the global market through diversifying the OE portfolio and optimising each regional distribution strategy, it announced in the statement.

Hankook Tire will also continue to accelerate its business growth and to strengthen its leadership in technology through a working environment that fosters innovation power and creativity, the statement added.