First-half 2014 results a record for Yokohama Rubber
Yokohama Rubber Co., Ltd. reports that its net sales, operating income and net income reached record first-half highs in the first half of the 2014 financial year. Net income climbed 38.4 per cent over the same period of the previous year to 18.0 billion yen (£104.9 million), on a 23.8 per cent increase in operating income to 23.6 billion yen (£137.6 million), and a 5.3 per cent increase in net sales to 283.9 billion yen (£1.7 billion). Underlying this performance was a strong sales growth in the company’s tyre business, both in Japan and internationally, along with gains in a number of other business areas. Earnings in each segment benefited additionally from a downward trend in raw material prices and from the weakening of the yen.
Continue ReadingKumho opens European tyre testing facility
A new tyre testing facility has been added to Kumho’s European Technical Centre (KETC) in Papenburg, Germany. The 1,000 square metre premises will facilitate the upwards of 3,000 tyres that the KETC tests a year and it houses a nine-strong test team along with all the required tyres and wheel rims. Kumho says the adjacent proving ground has been particularly designed to encompass subjective handling, wet handling characteristics, aquaplaning, driving comfort, interior/exterior noise and braking on all surfaces. These activities are supported by GPS-based measurement systems and digital evaluation of the tyre footprints.
Continue ReadingRussia weighs Nokian Tyres down in H1 2014
Few tyre makers depend as heavily on the Russian market as Nokian Tyres, and the Ukraine crisis therefore lefts its mark on the company in the first half of this current financial year. Kim Gran, president and chief operating officer of Nokian Tyres, said the Russia and CIS markets “proved to be more challenging than estimated” in the January to June 2014 period due to the crisis’ escalation, and a “clear drop in sales value” occurred as a consequence. Both unit volumes and sales in the region declined; Nokian’s sales in Russia dropped 31.4 per cent year-on-year between 1 January and 30 June to €230.9 million while sales in the CIS countries plummeted 66.0 per cent to €6.9 million. Combined, the region experienced a 33.3 per cent decrease in sales, to €237.8 million. Most of this decrease in sales value resulted from the weakening of the Russian rouble.
Continue ReadingBridgestone named America’s Golf Cup title sponsor
Bridgestone is to be title sponsor of the inaugural America’s Golf Cup, which will take place at the Pilar Golf Club in Buenos Aires, Argentina between 20 and 26 October. Upon announcing the deal, Bridgestone described the Bridgestone America’s Golf Cup as an “important platform” for advancing golf in the Latin America region and a venue for promoting the company’s product portfolio.
Continue ReadingStrong growth for Sumitomo Rubber Industries in H1 2014
Robust growth was once again order of the day at Sumitomo Rubber Industries (SRI). The company reports that in the first half of 2014 its turnover has increased to 379 trillion yen (£2.2 billion). This growth almost exclusively came through the company’s tyre business; SRI is the second largest Japanese tyre maker and its active worldwide with the Dunlop (outside of Europe and North America) and Falken brands.
Continue ReadingCooper extends timeframe for Cooper Chengshan talks
Yesterday Cooper Tire & Rubber Company announced it has extended, for a brief period, the option commencement deadline within the agreement that Cooper, Chengshan Group Company Ltd. and the CCT labor union reached in January of this year, which set forth a process to determine the future ownership of Cooper Chengshan (Shandong) Tire Company Ltd (CCT).
Continue ReadingCooper returns to growth in Q2
After a first quarter punctuated by lower year-on-year net sales and income, Cooper Tire & Rubber achieved growth – albeit slight – in the second quarter. During the three-month period ending 30 June, the tyre maker’s year-on-year net sales increased 0.5 per cent to US$888.7 million. Operating profit rose 10.7 per cent to $76.6 million, with operating margin reaching 8.6 per cent (7.6 per cent in Q2, 2013). Cooper says the increased in operating profit resulted primarily from favourable raw material costs of $67 million, higher unit volume of $13 million, favorable selling, general and administrative costs of $10 million, and manufacturing cost efficiencies of $7 million, which more than offset unfavorable pricing and mix of $85 million. The 2013 operating profit included $7 million in costs related to the then-pending merger with Apollo Tyres, which subsequently did not occur.
Continue ReadingTop Bridgestone managers take on Olympics roles
Bridgestone has announced the appointment of several senior executives to a new organisation called the BIOC – the Bridgestone International Organizing Committee. Bridgestone CEO and board chairman Maasaki Tsuya has been named BIOC chairman, effective 1 September. Tsuya will be supported in this position by COO and Japan business head Kazuhisa Nishigai, who will become vice-chairman of the BIOC, and Yuichiro Takenami, who will be BIOC secretary general.
Continue ReadingFirst-half 2014 results show Bridgestone’s positive development in Europe
In the second quarter of 2014, Bridgestone managed to increase its turnover, and its operating profit even more so. And the figures for Europe were particularly noteworthy and show a continued improvement, even if they remain below company average.
Continue Reading500+ former Unipart Automotive employees now with Andrew Page, Parts Alliance
When Unipart Automotive went into administration, Andrew Page and The Parts Alliance struck a deal to take over 33 branches, saving around 320 jobs. Since then Euro Car Parts has hired 65 more ex-Unipart staff, while promising another 1,500 jobs to be created in the comig 18 months. According to the latest reports from The Parts Alliance, this number has risen to around 500 ex-employees of Unipart Automotive. And the parts buying and distribution group says that extra jobs are planned for more of the reported 1,244 staff members made redundant by Unipart Automotive’s demise.
Continue ReadingPirelli’s premium focus noticeable in H1 results
In the first half of the year Pirelli was unable to maintain its year-on-year turnover, however it increased its profitability significantly and profited from the premium segment’s growing significance to the Italian tyre maker; the premium segment now accounts for more than 56 per cent of total turnover, as opposed to 50.5 per cent last year. And while total volumes increased by 1.8 per cent in the period between 1 January and 30 June, premium volumes shot up 21.6 per cent.
Continue ReadingLanxess posts improved Q2 income
Although volumes at Lanxess increased two per cent year-on-year in the second quarter of 2014, this could not fully offset the five per cent decline in selling prices it experienced. Therefore, the company’s overall sales fell 5.7 per cent year-on-year to €2.02 billion. “The continuing low earnings level and increasing competition show the need for further action to improve competitiveness, said Board of Management chairman Zachert.
Continue ReadingBreuers steps down from Lanxess role as restructuring gets in swing
Preparation for certain aspects of the restructuring awaiting Lanxess AG has already begun, and come at a time when the company is able to report improved year-on-year performance. The group-wide programme initiated by the company’s Board of Management on 24 July 2014 will see the number of Lanxess business units shrink from 14 to ten and will involve cuts to the company’s global administrative workforce. The business unit mergers will take effect 1 January 2015.
Continue ReadingApollo Tyres’ Q1 profit increase falls short of expectations
On 6 August the Board of Directors at Apollo Tyres Ltd approved the company’s unaudited results for the first quarter of its 2014-15 financial year. For the three-month period ending 30 June 2014, Apollo Tyres Ltd, on a consolidated level, reported net sales of Rs 32.35 billion (£314.29 million), 1.4 per cent higher than a year earlier. Operating profit rose 13.4 per cent to Rs 4.58 billion (£44.50 million) and net profit was up 37.3 per cent to Rs 2.28 billion (£22.15 million).
Continue ReadingKanwar speaks on Cooper and future growth at Apollo AGM
Onkar Kanwar has used the opportunity afforded by his company’s 41st Annual General Meeting to share Apollo Tyres’ view of why the planned acquisition of Cooper Tire & Rubber never materialised. The Apollo chairman also spoke on upcoming plans and the market opportunities and challenges the tyre maker has identified.
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