Michelin: sustained growth in segment operating income
(CercleFinance.com) - Published on Monday evening, Michelin group's results are marked by a 304 million euro increase (+11% at constant exchange rates) in segment operating income, which reached 2.
775 billion euros, all of which is "in a difficult environment" according to the Clermont based tyre maker.
At constant exchange rates, sales also increased by 4.1% to 22.87 billion euros. Volumes are also up, rising 0.9%: "after declining in the first quarter, volumes rose by 2% over the following nine months, in markets disrupted by the contraction in Chinese and original equipment," Michelin said.
However, net profit fell slightly, from 1.693 billion euros in 2017 to 1.66 billion euros in 2018. There was also a slight drop in EPS, which fell by 9 cents in one year from 9.39 euros to 9.30 euros. Even so, this did not prevent Michelin from increasing the dividend that will be proposed, which will be 3.70 euros per share, against 3.55 euros a year ago.
"In this environment, Michelin's objectives for 2019 are: volume growth in line with global market trends; segment operating income exceeding the 2018 figure at constant exchange rates and before the estimated E150 million contribution from Fenner and Camso; and structural free cash flow of more than E1.45 billion," the group said regarding its outlook.
Copyright (c) 2019 CercleFinance.com. All rights reserved.
775 billion euros, all of which is "in a difficult environment" according to the Clermont based tyre maker.
At constant exchange rates, sales also increased by 4.1% to 22.87 billion euros. Volumes are also up, rising 0.9%: "after declining in the first quarter, volumes rose by 2% over the following nine months, in markets disrupted by the contraction in Chinese and original equipment," Michelin said.
However, net profit fell slightly, from 1.693 billion euros in 2017 to 1.66 billion euros in 2018. There was also a slight drop in EPS, which fell by 9 cents in one year from 9.39 euros to 9.30 euros. Even so, this did not prevent Michelin from increasing the dividend that will be proposed, which will be 3.70 euros per share, against 3.55 euros a year ago.
"In this environment, Michelin's objectives for 2019 are: volume growth in line with global market trends; segment operating income exceeding the 2018 figure at constant exchange rates and before the estimated E150 million contribution from Fenner and Camso; and structural free cash flow of more than E1.45 billion," the group said regarding its outlook.
Copyright (c) 2019 CercleFinance.com. All rights reserved.