Cooper Tire Q3 net income down 46% to US$29m

Cooper Tire has reported third-quarter net income of US$29m compared with US$54m last year.

Cooper Tire has reported third-quarter net income of US$29m compared with US$54m last year.

Third Quarter Highlights:

Net sales decreased 4.4% to US$704m
Unit volume decreased 7% compared to the third quarter of 2018
Operating profit was $53m or 7.5% of net sales

“Despite the continued impact of tariffs, we were pleased to deliver sequential operating profit margin improvement in the third quarter driven by positive trends in pricing, mix and raw materials,” said Cooper Tires president & CEO, Brad Hughes. “As expected, our volume was impacted by customer inventory actions in the US, as well as challenging market conditions in our other regions.

“Cooper continues to make progress on the strategic initiatives outlined at our Investor Day in 2018, including expansion into new channels and efforts to optimise our global manufacturing footprint, including our actions in the UK and new joint venture in Vietnam. We expect the impact from our strategic initiatives will begin to make a more visible contribution to our results in 2020.”