Michelin posts impressive numbers in Q3 2017
Michelin’s Q3 2017 sales rose 3 per cent, helped by price increases and buoyant sales of premium tyres. For the nine months of 2017, total sales were €16.4 billion, up 6 per cent, led by volume gains and efficient pricing management. Group revenue advanced to 5.335 billion euros ($6.32 billion) from 5.179 billion a year earlier.
In the first nine months of 2017, the global original equipment and replacement Passenger car and Light truck tire market grew by 3 per cent in number of tyres sold. Michelin reiterated full-year guidance including a pledge to increase recurring operating income before currency effects – but cautioned that their impact was worsening.
“Michelin is cutting costs as it responds to increasing competitive pressure from low-cost rivals. The company is pursuing 1.2 billion euros in savings by 2020. Sales to truck and car manufacturers grew faster than replacement tyre revenue across all markets with the exception of North America, where car production is in decline,” a statement from the company said.