Michelin Sales Up Year-Over-Year in 2019 Financial Report

The Michelin Group released its end-of-year financial results for 2019, which show Michelin’s sales rose 7.8% at constant exchange rates, lifted by acquisitions (up 6.8%)

“In 2019, in a highly unstable environment, Michelin successfully maintained its market share and improved its earnings,” said Michelin Group Managing Chairman Florent Menegaux. “During this particularly demanding period of transformation for the group, I would like to personally thank all of our employees for demonstrating such remarkable engagement. In addition to delivering this solid performance, the men and women of Michelin are continuing to innovate every day, not only in tires but also in such areas as hydrogen mobility and bio-sourced and high-tech materials. Michelin remains committed to reducing its environmental footprint.”

Michelin reported a net income of €1.73 billion (approx. $1.87 billion) in 2019, compared to €1.66 billion (approx. $1.8 billion) in 2018. However, overall volumes were down 1.2%, which Michelin says is in line with the market.

Michelin also saw a 4% drop in OE passenger car and light truck tires in 2019 over 2018 in North/Central America but saw a 2% gain in the replacement segment.

Looking to 2020, Michelin says the passenger car and light truck tire markets are expected to decline slightly over the year, with flat growth in replacement demand and a sustained contraction in OE demand. Truck and off-the-road tire markets should continue to soften, the company says, impacted by a sharp decline in OE business. Mining markets should also shrink due to a slight inventory adjustment, while tire consumption should be sustained.

In this market environment, Michelin says its objectives for 2020 are to have “segment operating income at a constant parity slightly down on the prior year and free cash flow of more than €1.5 billion (approx. $1.63 billion) excluding the systemic effect of the coronavirus crisis in China.”

To see Michelin’s full 2019 end-of-year report, click here.

The Goodyear Tire & Rubber Company has named Ryan Waldron as president of the company's Americas business unit, reporting to Chief Executive Officer and President Mark Stewart. He succeeds Steven R. McClellan, who retired on April 1.

"At Goodyear, our customers are at the center of everything we do, and in Ryan Waldron, we have a customer-centric, execution-focused business leader with a deep understanding of both the marketplace and all aspects of our business, as well as a proven track record of delivering results," Stewart said. "I am thrilled to announce him as president of Goodyear's Americas business and have enormous confidence that under his leadership, both the company and our customers will reach even greater levels of success."