Nokian Tyres plc posted net profit of 308.9 million euros on net sales of more than 1.4 billion euros for its fiscal year ended Dec. 31, 2011. That compares to income of 169.7 million euros on sales of more than 1 billion euros for 2010.
Based on the exchange rate on Dec. 31, 2011, Nokian recorded net income of $400 million on net sales of nearly $1.9 billion in 2011. The company's income-to-sales ratio was 21%.
Nokian's operating profit was up 71%, to 380.1 million euros, compared to 2010.
Last year was very successful for the company for a number of reasons, according to CEO and President Kim Gran.
"Our growth strategy, combined with strong demand, led to good results. In terms of our key indicators, we broke our previous records in sales, product output and results.
"The world economy was characterized by insecurity and serious problems as a result of the European financial crisis. These factors and exceptionally high raw material costs presented challenges, which we managed to turn into our favour.
"Fortunately, the GDP in the company’s core markets in Northern Europe and Russia continued to grow, and consumer confidence was at a good level. The car and tire businesses were busy and grew throughout the year."
Nokian's sales improved significantly in all its key markets, says Gran.
"As we move into 2012, our prospects for growth are good despite various uncertainty factors. Our finances are strong and the company is debt-free, which makes it possible to invest in growth.
"Our position is strong in our key markets and will strengthen further. Our product range is competitive, our productivity one of the best in the business, and our distribution network is expanding fast."