Toyo reports lower Q1 sales, earnings
HYOGO, Japan — Toyo Tire & Rubber Co. Ltd. reported lower operating income and sales for the quarter ended March 31 and anticipates more of the same for the second quarter.
Operating income fell 12.5 percent to $97.7 million while sales were off 4.4 percent to $864 million, dropping the operating ratio one point to 11.3 percent.
Toyo attributed the drop in operating income to higher manufacturing and sales/administrative costs.
The tire division reported a 2.4-percent drop in operating income, to $105.9 million. Revenue grew 2.5 percent to $744.4 million, Toyo said, despite a dip in tires sold to roughly 9 million units. Production was up nearly 4 percent to 61,100 metric tons.
Sales in North America slipped 0.2 percent to $416 million.
Toyo said it expects second quarter sales and operating income to be 1.6 and 5.7 percent shy of the comparable 2017 period.