Yokohama Rubber: Sales Up, Earnings Down in 2018

Yokohama Rubber: Sales Up, Earnings Down in 2018

The Yokohama Rubber Co., Ltd., announced its business and financial results for fiscal year 2018.

The Yokohama Rubber Co., Ltd., announced its business and financial results for fiscal 2018 (January to December 2018).

Yokohama posted a 0.6% increase in sales revenue over the same period of the previous year, to 650.2 billion yen ($5.87 billion), and a 1.7% increase in business profit*, to 59.3 billion yen ($535 million). The figures for both of those items were Yokohama’s highest ever. Operating profit declined 1.4% to 53.5 billion yen ($483 million), and profit attributable to owners of parent declined 10.9% to 35.6 billion yen ($321 million). Those declines reflect an 11.2 billion yen ($101 million) charge for asset impairment at Yokohama’s U.S. tire production subsidiary Yokohama Tire Manufacturing Mississippi, LLC.

In the tire segment, sales revenue declined in original equipment business in Japan and overseas. In Japan, business suffered from product changeovers for vehicle models equipped with Yokohama tires and from production adjustments at automakers in connection with natural disasters. Overseas business suffered from production adjustments by automakers in China necessitated by weak sales. Yokohama won new fitments during the year on premium-grade passenger cars in Japan and overseas.

Yokohama posted sales growth in the Japanese market for replacement tires. Business there benefited from strong sales in winter tires, led by the iceGuard 6 studless snow tire. Japanese business in replacement tires also benefited from the promotion of Yokohama’s global flagship brand, Advan, and the fuel-saving tires of the company’s BluEarth series. Business in replacement tires outside Japan declined on account of adverse weather trends, currency instability in some emerging economies, and the negative effect on demand of concerns about U.S.-Chinese trade frictions.

In the Multiple Business segment, sales revenue increased in high-pressure hoses, led by continuing vigor globally for construction and industrial machines and in overseas markets for automotive hoses, Yokohama said. The company also posted growth in sales revenue in industrial materials, led by continuing strong momentum in conveyor belts in Japan and overseas. Sales revenue declined in Hamatite sealants and adhesives and electronic equipment coatings and in aircraft fixtures and components.

In the ATG (Alliance Tire Group) segment, sales revenue increased on the strength of gains in original equipment, which reflected a continuing recovery in demand for agricultural machinery.

Yokohama’s full-year fiscal projections for 2019 call for sales revenue of 660.0 billion yen ($5.96 million), up 1.5% over the previous year; business profit of 57.5 billion yen ($519 million), down 3.0%; operating profit of 57.5 billion yen ($519 million), up 7.5%; and profit attributable to owners of parent of 40.0 billion yen ($361 million), up 12.3%.

*Equivalent to operating income under accounting principles generally accepted in Japan and calculated as sales revenue less the sum of cost of sales and selling, general and administrative expenses

You May Also Like

Auto Care Association CEO Urges Trump to Keep U.S.-Mexico Border Open for Trade

The Auto Care Association is urging President Donald Trump’s administration to keep the border between the U.S. and Mexico open with the majority of imported auto parts coming from Mexico.

Auto Care Association

The Auto Care Association is urging President Donald Trump's Administration to keep the border between the United States and Mexico open for business.

Bill Hanvey, president and CEO of the Auto Care Association, said between the U.S. and Mexico, millions of dollars of auto parts are shipped back and forth daily.

Gallery: GT Radial Maxtour LX Launch & Plant Visit

This week, Giti Tire USA hosted a launch event to debut its new touring tire under the GT Radial brand, the Maxtour LX. Related Articles – Smart Walls Help Bays Stay Organized – Smithers Rapra Opens New Product Testing Lab In Suzhou, China – Andreoli Software Integrates With AMI During a ride-and-drive event at the

Giti Tire plant team Richburg SC
Smart Walls Help Bays Stay Organized

JohnDow Industries Smart Walls are designed as a better option for the storage of popular service parts, making them easy to access, easy to find and easy to organize.

Smithers Rapra Opens New Product Testing Lab In Suzhou, China

Smithers Rapra is opening a new product-testing lab in Suzhou, China, which will provide air leak and burst, cleanliness, material properties, salt spray, and pressure, vibration and temperature (PVT) testing.

Smithers-Rapra China facility
Andreoli Software Integrates With AMI

Andreoli Software, a point-of-sale software provider to the independent retail and wholesale tire industry, has released an integration with AutoMed5, or AMI.

Other Posts
Explaining Types of TPMS Sensors in Terms of Music

With multiple types of TPMS sensors, deciding which one is right for your business starts with a good understanding of each.

music on demand TPMs sensors
Continental Tire Announces Price Increases for U.S. Market

Continental Tire the Americas will increase prices in the U.S. market on Continental and General brand passenger and light truck tires, effective Jan. 7, 2019.

Michelin Acquires 2019 Naming Rights to Road Atlanta Racetrack

Michelin North America has announced an agreement with Road Atlanta for exclusive naming rights of the racetrack. Beginning in 2019, the track will be renamed Michelin Raceway Road Atlanta.

Hunter Engineering Enhances Connected Equipment Capabilities

Hunter Engineering Co. has announced advancements to its online business intelligence tool, HunterNet.

Hunter Engineering