Skip to main content
Sister Publication Links
  • Rubber & Plastics News
Subscribe
  • My Account
  • LogIn
  • News
  • Technology Focus
    • Features
    • Technical Papers
    • Analysis: Rubber mixing plants of the future
      Analysis: US probes dumping by ESBR suppliers
      Opinion: Tire labels stuck in a rut
      Analysis: NR pricing takes one step forward, two steps back
    • White paper: Role of tire innerliners in improving 'in-use rolling resistance'
      White paper: Why tire air retention matters now more than ever
      Nippon Soda: Use of 1,2-polybutadiene in CSM rubber applications
      Elastomers for Sustainability Top 10
  • Events
    • ERJ Events
    • ERJ Livestreams & Webinars
    • Industry Events
    • Journey to Automation Awards 2020
      Sustainability: Top 10 E4S projects table
  • Maps & Reports
  • People
  • Directory
  • Digital Edition
  • Brainiac
MENU
Breadcrumb
  1. Home
  2. News
November 07, 2013 12:00 AM

Pirelli eyes profit improvements through 2017

ERJ Staff
  • Tweet
  • Share
  • Share
  • Email
  • More
    Print

    ERJ staff report (BD)

    Milan, Italy – Pirelli & C SpA hopes to improve its operating earnings margin to 15 percent by 2017 based on increased sales of premium tires, lower debt, improved cash flow and additional efficiencies, according to the firm’s latest five-year strategic plan.

    Pirelli said the operating margin should improve two percentage points over the coming four years, with the return on investment improving to 28 percent from 20 percent.

    Contributing to the improvement will be an increase in the share of sales from premium products to 60 percent by 2016 from 56 percent in 2013, Pirelli management said.

    Pirelli also said it intends to invest $2.3bn (€1.7bn) through 2016, although management didn’t specify the nature of the investments. The company did say, though, it expects to achieve about $500m (€369.7m) in efficiencies and cut debt by nearly two-thirds to about $715m (€528.7m).

    Included in the sales projections are goals to “consolidate” leadership in Latin America and Middle East/Africa, strengthen its position throughout Asia/Pacific and increase profitability in Europe, including reinforcing the firm’s role in Russia.

    RECOMMENDED FOR YOU
    Tatneft unveils €112m expansion at Kama Tyres plant
    Tatneft unveils €112m expansion at Kama Tyres plant
    Air France, Michelin extend come-fly-with-me deal
    Air France, Michelin extend come-fly-with-me deal
    DKT IRC organisers line up symposium in lieu of postponed event 
    DKT IRC organisers line up symposium in lieu of postponed event 
    Free Newsletters

    Breaking news and in-depth coverage of essential topics delivered straight to your inbox.

    Subscribe today

    Get the latest news impacting the European rubber industry, from breaking news to razor-sharp analysis, in print and online.

    Subscribe now
    Connect with Us
    • LinkedIn
    • Twitter
    • Youtube

    Logo
    Contact Us

    @ 2019 European Rubber Journal. All rights reserved.
    Contact Us European Rubber Journal, Crain Communication LTD, Ground Floor 11 Ironmonger Lane, London EC2V 8EY, UK

    Customer Service:
    1-313-446-0450

    Resources
    • About us
    • Contact Us
    • Staff
    • Advertise with Us
    • Media Kit
    • Careers
    • Ad Choices Ad Choices
    • Sitemap
    Legal
    • Terms and Conditions
    • Privacy Policy
    • Privacy Request
    Copyright © 1996-2021. Crain Communications, Inc. All Rights Reserved.
    • News
    • Technology Focus
      • Features
      • Technical Papers
    • Events
      • ERJ Events
      • ERJ Livestreams & Webinars
      • Industry Events
    • Maps & Reports
    • People
    • Directory
    • Digital Edition
    • Brainiac