Linglong Boosts Profit

Shandong Linglong Tire expects its net profit for the first half of 2024 to be between 850 million and 1.02 billion yuan (117-140 million dollars), which is 52-82% higher compared to the same period last year. The forecasted net profit, considering non-recurring income and expenses, is between 840 million and 990 million yuan (116-136 million dollars), with expected growth ranging from 68% to 98%.

Linglong notes that the main reason for the increase in profit in the first half of the year was the company's active update of its product range, as well as the gradual increase in production capacity at its Serbian plant, which allows it to strengthen its position in the international market. In the first half of 2024, Linglong's total sales grew by approximately 11% compared to January-June 2023, while sales outside of China increased by 20%, and sales in the high-margin passenger tire segment grew by 12%. The company also emphasizes that it continues to actively reduce its expenses and improve the efficiency of its activities, which also helped to significantly improve profitability.

Linglong produces tires for passenger, commercial, and cargo vehicles, as well as various special equipment, and according to its 2023 report, the company supplied products to more than 60 customers in the original equipment sector, including well-known brands such as Volkswagen, Audi, BMW, General Motors, Ford, and others, and its tires were represented in 173 countries worldwide.

Last year, Linglong's sales totaled 20.165 billion yuan (2.8 billion dollars), of which 9.397 billion yuan (1.29 billion dollars) or nearly half came from international markets. According to the results of 2023, the company ranks 17th in the list of the largest tire manufacturers by sales volume, you can see the full list of top 20 largest tire manufacturers.