Toyo Posts Record Sales, Income

Toyo Tire Corp.’s tire business unit helped propel the company to record-high sales and income during the second quarter. 

The Hyogo, Japan-based firm posted net sales of $1.86 billion and operating income of $324.9 million during the second three months of 2024 – up 3% and 78.3%, respectively, from the same period last year. 

Toyo’s tire business unit achieved net sales of $1.71 billion during 2Q 2024, a year-over-year increase of 3.6%. 

Due to its second quarter results, Toyo has revised its full-year 2024 performance upward. 

Actions in progress 

In a slide deck that accompanied the release of Toyo’s second quarter results, the company said it continues to place “greater focus” on the promotion of its “priority products,” while building a “cost-competitive production/supply system” that includes making its plant in Serbia “fully operational.” 

In an interview with MTD last month, Michael Graber, president and CEO of Toyo Tire U.S.A. Corp., said the Serbia plant is “producing tires as planned. Full capacity is five million tires. We expect to get a significant portion of those” for the U.S. market.  

The Serbia plant, which opened in late-2022, “is more passenger car-tire focused. We’re building more broadline passenger tires in Serbia and that frees up more space to build light truck tires in Georgia,” where Toyo has a consumer tire plant. 

“We also source tires from Japan and Malaysia. The ability to move tires around and build them in the most efficient way possible has given us the opportunity to build more of what North America needs at our Georgia plant.” 

What’s next? 

The next phase of Toyo’s global business, according to company officials, will entail investments “needed to maintain competitiveness of (its) core business” and the achievement of “future growth over the medium- to long-term.” 

Meanwhile, Toyo will continue to allocate cash “in a way that balances shareholder returns” linked to improved performance.