Nexen Posts Second Quarter Results

Nexen Tire posted record-high quarterly revenue of more than $30.6 million during the second quarter of 2025.

This marks the second consecutive quarter in which Nexen has achieved record high quarterly reveue.

"The robust performance in Q2 was primarily driven by increased production capacity following Phase Two of (Nexen's) European plant in the Czech Republic, alongside the effective execution of region-specific sales strategies," say Nexen officials.

"Despite continued uncertainties in the global automotive sector, Nexen Tire secured key supply volumes in advance, resulting in balanced growth across  both original equipment (OE) and replacement segments."

During the first six months of 2025, Nexen began supplying OE tires for nearly a dozen vehicles.

Nexen's operating profit "remained stable" during the second quarter of 2025. "While ocean freight costs offered relief, elevated raw material prices late last year continued to exert pressure on margins."

The company expects a positive impact on profitability during the rest of the year thanks to the continued downward trend in raw material costs.

U.S. performance

Nexen further strengthened its sales in the United States during the second quarter, "building on the recovery that began in the first quarter after a temporary slowdown in the company's sales" during the second half of 2024.

Nexen officials say growth "was supported by the expansion of newly secured retail distribution channels."

Meanwhile, in the company's Asia-Pacific region, Japan and Australia saw record sales volumes, driven by "continued investment in distribution network development."

Price hikes ahead

"In response to recent U.S. tariff policy changes, Nexen Tire will implement gradual price adjustments in the U.S. market," say Nexen officials.

"To mitigate profitability risks, the company will focus on expanding its high-margin product portfolio and reallocating global supply volumes strategically. Real-time monitoring of trade developments and flexible response mechanisms remain in place."