Growing domestic, exports sales drive positive 2010 for Brisa
Last year saw an upturn in global tyre markets following the slump of 2008 and 2009, and in presenting the 2010 annual report for Turkish tyre maker Brisa Bridgestone Sabanci Tire Manufacturing and Trading, chairperson Güler Sabanci said “Brisa reacted to this positive turn as efficiently as it reacted to the sudden deterioration that was previously caused by the harsh effects of the global financial turmoil; and managed the increase of demand in a brilliant fashion.”
In total, the manufacturer of Lassa and Bridgestone-branded tyres produced 9,311,038 tyres last year, 16.1 per cent more than in 2009. Through this increased production, combined with the activities of Brisa’s ‘OtoPratik’ fast fit retail chain and the company’s acquisition of the Turkish Bandag operation from Bridgestone Europe, in 2010 Brisa increased its turnover by 26 per cent year-on-year to TL 980 million (£376.5 million). More importantly, Ms Güler reports that net profit rose 45 per cent year-on-year during 2010 to TL 56.7 million (£21.8 million). Operating profit, at TL 65.6 million (£25.2 million), is up 40.5 per cent compared with 2009.
Brisa’s 16.1 per cent production increase outstrips that reported for the Turkish tyre industry in general, which Brisa states increase its production by eight per cent to 27 million tyres. In addition to increased domestic demand, both in the original equipment and replacement markets, Brisa notes that a significant increase in export demand was observed.
The joint venture tyre maker increased its original equipment sales by 17 per cent in 2010, while demand for replacement products grew 13 per cent. Brisa notes that average growth in bus/truck market doubled and demand for 15-inch and larger passenger car tyre fitments “increased significantly” in line with global trends. During 2010, Brisa began working with a new distributor in the UK and with two new German distributors, and the manufacturer reports that export demand increased significantly. Harsh winter conditions in Europe also led to an above-average rise in winter tyre exports; almost 50 per cent of Lassa exports were winter products. Total Lassa exports increased 15 per cent year-on-year.