Yokohama Rubber Co. has announced its business and financial results for the first three quarters of 2017, including an increase of 39.7% in operating income while posting its highest-ever net sales for first three quarters.
In Yokohama’s Tires segment, operating income rose 14.8%, to 19.0 billion yen, on a 7.3% increase in sales, to 333.1 billion yen. Yokohama gained operating profitability despite the adverse effect of upward movement in prices for raw materials.
In the original equipment market for tires, Yokohama’s sales increased solidly overseas, led by especially strong gains in China and Russia. Yokohama posted gains in unit volume, in sales value, and in operating income in replacement tires. Those gains included sales expansion in overseas markets, led by strong growth in Russia and in Southeast Asia. They benefited in Japan from the successful launch of the iceGUARD 6 studless snow tire and from strong sales for other high-value-added products.
Yokohama abides by the full-year fiscal projections that it announced in August 2017 for sales and earnings. Those projections call for profit attributable to owners of parent to total 30.0 billion yen on operating income of 50.0 billion yen and net sales of 660.0 billion yen.
The company has delayed its schedule for adopting the International Financial Reporting Standards (IFRS) but plans to begin disclosing IFRS-based results in February 2018.
