Michelin reports growth in Q1, expects a positive 2015

Clermont-Ferrand, France –Michelin achieved a modest 5.6-percent rise in net sales compared to the same period in 2014, the group’s first quarter results show.

For the three months ended 31 March, the French group reported an “above-market” growth in passenger car/light truck tires market. Sales reached €2,777 million – 10 percent higher than the prior-year first quarter.

Overall sales volume, in terms of unit sales, rose by 1.5 percent, the tire maker also reported.

Michelin posted a 5.1-percent negative change in price mix, due largely to the 2014 price cuts and the application of indexation clauses.

On the other hand, the French group noted a 9.7-percent favourable currency effect, reflecting the euro's decline against the its main operating currencies.

Michelin expects lower raw materials prices to have a favourable impact of around €600 million over the year and aims to ensure that changes in price mix and raw materials prices have a net positive effect in 2015.

The currency effect is expected to add more than €350 million to operating income for the year.