Kumho Tyre Co., South Korea's second-largest tire manufacturer, revealed that it lost 27 billion won ($25.7 million) in the first quarter due to its wrong-way bets on currency derivatives, reports Asia Pulse.

The losses came from the "unexpected strength" of the euro currency against the South Korean won, Kumho Tyre said in a regulatory filing. So far this year, the euro has gained 13% against the won.

South Korean exporters, which bought foreign currencies in forward exchange transactions for hedging, have been suffering from the won's persistent weakness versus major currencies.

Previously, Hyundai Motor Co., the country's biggest automaker, said it lost 138 billion won in losses related to currency derivatives in the January-March period.