News
Financial Information for Q1 ended March 31, 2011
25.04.2011
04/21/2011
Michelin Announces Net Sales of €5,047 Million, up 28% on First-Quarter 2010
- Historically high sales in first-quarter 2011, with volumes gaining 16.5% on the sustained rebound in demand
- MICHELIN brand positions strengthened, thanks to its excellent product plan
- Price-mix improved by 7.7%, primarily reflecting price increases to pass on the sharp, across-the-board run-up in raw materials costs
- 2011 Guidance:
| In first-quarter 2011, the sharp growth in volumes which compares with a prior-year period when demand was still recovering in mature markets, was amplified by early buying ahead of rolling price increases. | |
| Over the full year, Michelin aims to drive volume growth of at least 6.5%. This objective may be raised if end-customer sales volumes remain at current levels over the coming months. | |
| At a time of rising raw materials costs, Michelin is pursuing its firm pricing policy. Together, the price increases announced or implemented to date are expected to offset nearly 80% of the estimated additional full-year costs of around €1,800 million. | |
| Given the impact of these additional costs on working capital requirement and the faster deployment of capital expenditure programs, free cash flow is expected to be temporarily negative in 2011. | |
| Michelin reaffirms its objective of reporting higher operating income in 2011. |
