Cooper’s 2Q operating profit down $10 million
Cooper Tire & Rubber Co. reported net income of $12 million for the quarter ended June 30, 2011. The total is a decrease of $7 million from the same period in 2010.
Net sales were $922 million, an increase of $118 million, or 15% from 2010. Operating profit was $24 million for the quarter, a decrease of $10 million from the prior year same quarter. The company reported net income of 18 cents per share from continuing operations on a diluted basis compared with 30 cents in the second quarter of 2010.
Cooper says lower volumes in the North American and International segments reduced profits by $14 million compared with a year ago. Products liability costs were $12 million higher. Improved price and mix of $184 million during the quarter was more than offset by $194 million of higher raw material costs.
Compared to the prior year, improved manufacturing efficiencies lowered costs by $13 million. Selling, general and administrative and other costs were lower by $7 million, at 5.3 percent of net sales. Second quarter results in 2010 included $7 million of restructuring costs.
Cooper has posted a summary presentation of information related to the quarter on its Web site at http://coopertire.com/Investors/Financials/Quarterly-Summary.aspx.