OSAKA, Japan (Feb. 15, 2013) — Toyo Tire & Rubber Co. reported an improved earnings picture for the company’s abbreviated fiscal year ended Dec. 31 on sales of $3.65 billion.
Direct comparisons with previous years are not possible as Toyo changed its accounting to a Dec. 31 year-end from a March 31 year-end. The fiscal 2012 results include nine months of results from Toyo’s domestic businesesses and 12 months of results from the overseas subsidiaries.
Operating income of $196.1 million represents an operating margin of 5.4 percent, while net income of $165.6 million equals a net ratio of 4.5 percent. By comparison, the operating and net margins for the fiscal year ended March 31, 2012, were 4 and 2.1 percent.
For fiscal 2013, Toyo is forecasting operating and net income of about $250 million and $135 million, or ratios of 6.1 and 3.3 percent. Sales are projected to hit $4 billion.
For fiscal 2012, Toyo’s tire division reported sales of $2.9 billion and operating income of $165 million, or 5.7 percent of sales. The forecast for 2013 is saless of $3.2 billion and and operating margin of 6.5 percent.
Toyo said production of tires in Japan rebounded from the earthquake-impacted production levels of 2011, and strong OE deliveries yielded “favorable” domestic sales gains. The company also experienced strong winter tire sales domestically.
Sales in North America last year were essentially unchanged at $1.32 billion, reflecting the sluggish economy, Toyo reported. Operating income slid 1.4 percent to $51 million, or 3.9 percent of sales.
Source: Tire Business
