Groupe Michelin is reporting year-over-year increases in net sales, net income and operating income for the first half of 2015.
The tiremaker reported an 8.5 percent increase in sales to approximately €10.5 billion ($11.61 billion). Michelin attributes its sales success to a favorable currency effect, consolidation and a 2.4 percent increase in volume.
Groupe Michelin also reported an increased operating income of €1.3 billion ($1.44 billion), up 8.9 percent year-over-year, and a net income of €707 million ($781.76 billion), an increase of 13.3 percent year-over-year.
“Michelin achieved strong growth in the first half of the year by leveraging its broader portfolio of solutions, by expanding access to customers and by capturing the rising demand in its traditional markets,” said Jean-Dominique Senard, CEO of Michelin. “The success of our most recent lines, like the Michelin CrossClimate and the new BFGoodrich tires, as well as our strengthened positions in the original equipment segment, confirm the importance of innovation for the group’s growth. Combined with the expected deployment of the competitiveness plan, Michelin can confirm its full-year guidance.”
In North America, Michelin saw an increase in passenger, light truck and truck tire sales as well. Michelin reported a 5 percent increase in OE sales for the passenger and light truck market and a 5 percent increase in the segment’s replacement sales. Additionally, the tiremaker reported a 6 percent increase in replacement sales for the North American truck tire market and a 14 percent increase in OE volumes.
For the remainder of 2015, Michelin expects tire demand to remain on an upward trend in mature regions, but “challenging” in new markets, the tiremaker said. The company’s objective moving forward is maintaining the growth trends it observed in the first half of 2015, the company said.
