Nokian Tyres P.L.C. recorded net income of 330.9 million euros on net sales of more than 1.6 billion euros for its fiscal year ended Dec. 31, 2012. That compares to income of 308.9 million euros on sales of more than 1.4 billion euros for 2011.
Based on the exchange rate on Dec. 31, 2012, Nokian recorded net income of $437.7 million on net sales of $2.1 billion in 2012. The company's income-to-sales ratio was 21%.
Net sales increased 10.7% versus 2011. Nokian's operating profit was up 9.2%, to 415 million euros, compared to 2011.
The company performed well in a challenging environment and recorded all-time high sales and profits combined with excellent cash flow, according to CEO and President Kim Gran.
“Our market position improved in core areas, the company is debt-free and we are able to develop our business further from a healthy position.
“We got a flying start to the year 2012 sales and were running full utilization of our capacities in H1. The weak economic situation in Central Europe combined with high carry-over inventories in distribution resulted however in a dramatic drop in demand in CE.
“Also our sales were hit and growth in CE stalled during Q3 and Q4. Due to decisive and rapid changes in production, allocating a higher share of production and sales to Russia and support from reduced costs we managed to end the year with reasonably good results.
“We are looking into 2013 with confidence. After a slow start for the year in Q1 we expect the market to present us with some growth opportunities."
