Nokian Renkaat Oyj

TYRES

Equity

ISIN FI0009005318 / Valor 373439

NASDAQ Helsinki Ltd, Equities (2025-03-14)

EUR 6.55+0.43%

Nokian Renkaat Oyj
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About company

Nokian Renkaat Oyj, commonly known as Nokian Tyres, is a Finnish company specializing in the development and manufacturing of premium tires for passenger cars, trucks, and heavy machinery. The company is recognized for its innovative approach to tire production, continually enhancing its products to improve safety and performance. In addition to its manufacturing operations, Nokian Tyres operates the Vianor service chain, which offers tire and car services to both individual consumers and businesses. The company is focused on achieving profitable growth, with a strategic goal of reaching EUR 2 billion in net sales, while also ensuring sustainable value for its shareholders. Nokian Tyres is a key player in the global tire industry, known for its commitment to quality and innovation.

Summarized from source with an LLMView SourceSector: Non-Energy Materials

Net Sales Growth

In the third quarter of 2024, Nokian Renkaat Oyj reported net sales of EUR 313.6 million, marking a 13.6% increase compared to the same period in 2023. When adjusted for comparable currencies, the net sales growth was 14.4%, driven primarily by strong performance in Central Europe.

Operating Profit and Exclusions

The company's operating profit for July–September 2024 was EUR 4.1 million, down from EUR 8.3 million in the previous year. Non-IFRS exclusions amounted to EUR -26.3 million, which included costs related to the US factory ramp-up and preparations for the Romanian factory ramp-up, as well as inventory write-downs due to delayed contract manufacturing products.

Earnings Per Share

Nokian Renkaat Oyj reported earnings per share of EUR -0.03 for the third quarter of 2024, compared to EUR 0.03 in the same period of 2023. The decline in earnings per share reflects the impact of non-IFRS exclusions and other financial challenges faced during the quarter.

Cash Flow and Investments

Cash flow from operating activities in the third quarter of 2024 was EUR -92.2 million, slightly worse than the EUR -90.8 million reported in the same period of the previous year. The company made investments totaling EUR 101.1 million during the quarter, with significant focus on enhancing production capabilities.

Outlook and Strategic Developments

Nokian Renkaat Oyj maintains its guidance for 2024, expecting significant growth in net sales and segments operating profit compared to the previous year. The company is progressing with the construction of its Romanian factory, which is on schedule to start commercial production in early 2025, and has completed the investment phase in its Dayton factory in the US.

Summarized from source with an LLMView Source

Key figures

-19.3%1Y

-60.8%3Y

-64.9%5Y

Performance

30.5%1Y

47.6%3Y

45.0%5Y

Volatility