Toyo's Sales and Profits Are Both on the Rise
A price hike and favorable yen-dollar rate in the U.S. market resulted in Toyo Tire Corp. achieving record sales in the third quarter, and for the first nine months of 2022.
In the quarter, Toyo had sales of 126.7 million yen, up more than 30 million yen compared to sales posted in 2021. Toyo’s previous high for third quarter sales was 106.6 billion yen, in 2015.
Total sales have increased nearly 24% in the first nine months of 2022, while profits increased 54% through the end of September.
Net sales totaled 350.4 billion yen through the first three quarters, up from 282.8 billion yen in 2021. The total also bested the previous nine-month sales record of 301 billion yen in 2015.
In North America, sales through September hit nearly 227.7 billion yen, up almost 35% compared to the prior year.
Toyo’s tire business unit contributed 320.1 billion yen, a 26% increase from 2021. Operating income in the tire business was 33.7 billion yen, down 18% from the first nine months of 2021.
Toyo’s automotive parts business unit increased sales to 30.2 billion yen, but recorded an operating loss of 2.3 billion yen – down 849 million yen from the same period in 2021.
The company says its operating income in the most recent quarter was affected by “lower utilization at the U.S. plant and worsening of region/product mixes.” Operating income in the period of 5.4 billion yen was below its previous forecast.