Pirelli Tyre reports 2008 revenues
Pirelli Tyre has reported its 2008 revenues were 4,100 million euros, up 1.3% (net of exchange rates, -1.5% including the exchange rate effect) .
Margins suffered from the increase in raw material prices, which brought about greater costs of about 200 million euros in 2008. The crisis in the auto industry affected the original equipment channel, the company adds.
In order to counter the scenario, the company undertook restructuring actions, accelerated in the fourth quarter, against the further deterioration of the market in order to strengthen its competitiveness and reduce costs.
EBITDA before restructuring charges was 443 million euros, down 19% compared with 548.6 million euros in 2007. EBIT before restructuring charges was 250 million euros, down 30% from 358.1 million euros in 2007. Considering restructuring charges for the entire year, equal to 100 million euros, EBIT was 150 million euros.
The net financial position was down 1,266 million euros (559.6 million euros at the end of 2007) following the repurchase of minority stakes in the Turkish subsidiaries and the merger of Speed into Pirelli Tyre.
The fourth quarter registered revenues of 870 million euros, down 5% on a like-for-like basis, and EBIT before restructuring charges -- which in the fourth quarter alone amounted to 68 million euros -- of 18 million euros compared with 71.9 million euros fin the year earlier period.