Pirelli & C. SpA recorded net revenue of 440.7 million euros on consolidated net sales of more than 5.6 billion euros for its fiscal year ended Dec. 31, 2011. That compares to revenue of 4.2 million euros on sales of more than 4.8 billion euros for fiscal 2010.
Based on the exchange rate on Dec. 31, 2011, Pirelli posted net revenue of $570.7 millon on net sales of $7.3 billion in 2011. It's income-to-sales ratio was 7.8%; if the one-time positive impact resulting from a change in European fiscal law is eliminated, the ratio was 5.5%.
The company's consolidated operating income (after restructuring charges) was 581.9 million euros, a 42.7% increase over the previous year.
At the end of this fiscal year, Pirelli's Tyre Business unit, which accounts for 99% of consolidated revenues, showed a significant growth of its economic indicators and profitability. Two of the reasons for the growth were the company's focus on the premium consumer tire segment, plus its ability to use pricing to offset the increase in raw material costs. The "premium" revenues grew by 27%, to 1.8 billion euros.
"Faced with a general slowdown in the demand for tires as a consequence of the present macro-economic crisis, Pirelli in 2012 will further intensify, compared with that which was foreseen in the 2012-2014 Industrial Plan presented last November, actions aimed at improving the mix both in the car and truck businesses," says Pirelli.
Total revenues in 2012 are expected to be around 6.6 billion euros, an increase of 17% from 5.65 billion euros in 2011.