Toyo Tires earnings up 78% despite dip in sales

Hyogo, Japan – Toyo Tire Corp. has improved its earnings (operating income) by 78% in the first quarter of 2024, despite lower year-on-year sales revenue.

The Japanese group reported earnings of nearly Yen26 billion (€154 million), on 1.2% lower sales of Yen127 billion, Toyo announced 14 May.

The Tire business unit posted net sales of Yen116.5 billion, down 1.2% from the year before, while earnings grew 75.6% to Yen25.6 billion.

In particular, earnings were positively impacted by lower production costs and a nearly Yen10 billion combined impact of weaker yen and lower freight prices.

In terms of regions, sales in Japan fell 12.4% to Yen24.8 billion, but earnings grew 150% to Yen21.7 billion.

North America contributed most to sales, reporting a 3.8% year-on-year increase in revenue to Yen85 billion. Earnings, however, fell 11.5% to Yen4.3 billion.

Other regions reported a 60.7% increase in earnings to Yen2.1 billion, despite a 6.3% year-on-year decline in sales to Yen18.8 billion.