Cooper posts higher sales, profits for 2011
Even as it tries to resolve a three-month lock out at its hometown Findlay, Ohio, plant, Cooper Tire & Rubber Co reported full-year 2011 net profit of $269.6 million against sales of $3.9 billion, Tire Review reports. The sales results were an improvement of $566 million, or 17 per cent, from 2010, while the net profit mark was up significantly from 2010’s $163.9 million.
“Our strengthened product portfolio is continuing to perform very well as we achieved better than market growth in multiple product lines,” said Roy Armes, chairman and CEO. “Focusing on delivering products that meet ever-changing consumer needs should help to balance our exposure to broadline tyres and economic conditions. We continue to believe that pent-up demand for broadline tires exists, although it is difficult to predict exactly when that demand will manifest.
“Raw materials are inherently volatile, but have shown signs of stabilising at elevated levels. The third quarter of 2011 represented an all-time high on our raw material index and, while costs declined somewhat in the fourth quarter, they remain elevated at near record highs. We believe the company’s raw material index will be flat from the fourth quarter to the first quarter,” he said.
“Our manufacturing facilities are doing a great job of adjusting to very fluid conditions. The successful efforts we have made to improve our cost structure and increase the flexibility of our footprint over the last few years are evident in our results, and we believe further improvement can contribute meaningful results over the next couple of years.”