Michelin Achieved Sales, Income Gains in 2021
The Michelin Group achieved a 16.3% year-over-year increase in sales during 2021, driven by an 11.8% rebound in tire volume and other factors. Michelin's operating income also grew significantly last year.
Replacement tire demand in North and Central America "remained high" during the first nine months of 2021, "ending the period up 23% over 2020 and 7% on 2019 - supported by favorable comparatives and dealer inventory rebuilding," according to Michelin officials.
Despite a downturn during the fourth quarter, the replacement passenger tire market "ended the year up 14% on 2020 and 4% ahead of 2019."
On the original equipment side, "after expanding (by) a strong 28% in the first half due to low comparatives caused by OEM plant shutdowns in first-half 2020," passenger tire demand "was heavily impacted in the second half by the worsening global shortage of semiconductors, which led to a 17% decline for the period."
Meanwhile, demand for medium truck tires in North America remained "very robust, rising 9% after rebounding by 35% in the first six months" of 2021.
In the Americas, as well as Europe, "the robust economic recovery and driver shortages prompted trucking companies to massively upgrade their fleets," according to Michelin officials. "This drove strong growth in demand in these regions over the year, with gains of 25% in North America and Europe."
Demand for mining tires increased during 2021, "with an acceleration in the second half," while the construction tire segment enjoyed a robust recovery.
"Farm machinery tire markets climbed sharply year-on-year, with a very strong, cyclical upturn in OE sales."