Nexen sets sales records
Nexen Tire has announced its financial results for the second quarter of 2025, with revenue of 804.7 billion won ($580 million) and operating profit of 42.6 billion won ($31 million). Nexen notes that these figures are record-breaking for the second consecutive quarter, confirming the company's "strong growth trajectory".
The company attributes the growth in revenue to the increased production capacity at its Czech plant after the launch of its second phase, as well as the "effective implementation of its sales expansion strategy in various regions". "Despite the ongoing uncertainties in the global automotive industry, Nexen Tire had secured the necessary supply volumes in advance, resulting in balanced growth in both the original equipment and replacement markets," the tire manufacturer said in a statement.
In the second quarter of 2025, Nexen continued to strengthen its position in the US, recovering sales after a temporary slowdown in demand in the second half of last year. In the Asia-Pacific region, including Australia and Japan, the company achieved record sales thanks to "consistent investments in developing its distribution network".
Operating profit showed a slight increase compared to the previous quarter, as while the decrease in sea freight costs played a positive role, the rise in raw material prices at the end of last year continues to affect Nexen's profitability. However, since the beginning of 2025, there has been a trend towards a decrease in costs for key raw materials, and the company expects an improvement in its profitability in the second half of the year.
Nexen reports that due to changes in US tariff policies, the company will gradually adjust prices in the American market. In addition, to reduce risks, the manufacturer will focus on expanding its range of high-margin products and redistributing supplies globally.
Nexen continues to expand its presence in the OE segment, and in the first half of 2025, the company began supplying tires for 11 new vehicle models, such as the Kia EV4 and Tasman, Hyundai Nexo, and others.