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GUIDANCE FOR 2020

Stock exchange release 2019, March 27, 2020:

Nokian Tyres plc withdraws financial guidance for 2020

Due to the COVID-19 outbreak, which has increased the uncertainty in the car and tire market, the Board of Directors of Nokian Tyres plc has decided to withdraw the Company’s financial guidance for 2020 published on February 4, 2020. Due to the prevailing uncertainties, the Board is not in a position to give a new guidance.

 

Previously published guidance

Financial Statement Release 2019, February 4, 2020:

Guidance for 2020

In 2020, net sales with comparable currencies are expected to decline and operating profit to be significantly below the level of 2019. In line with Nokian Tyres’ updated 2018 strategy, the company is targeting further growth in Russia, Central Europe, and North America. In 2020 however, net sales and operating profit in Russia are expected to decline substantially due to the changed market dynamics. Operating profit in 2020 will include costs related to the North American expansion and other investment programs to support long-term growth, as communicated in 2018.

 

Stock exchange release, January 24, 2020:

Nokian Tyres plc confirms its guidance for 2019 and provides preliminary outlook for 2020

Nokian Tyres plc confirms its guidance for the full year 2019 and provides preliminary outlook for 2020. In line with the guidance given in October 2019, net sales in 2019 with comparable currencies were approximately at the level of 2018 and operating profit margin was approximately at the level of 20%. In 2020, Nokian Tyres net sales with comparable currencies are expected to decline and operating profit to be significantly below the level of 2019.

In 2019, the car and tire markets continued to be soft in Europe, which resulted in tightening competition. Winter tire demand in October-December was negatively impacted by the warm winter in Nokian Tyres key markets. During the year, the Russian market declined against the expectations. Low consumer spending, declining new car sales and increasing competition resulted in a significant increase in carry-over stocks at the year-end in Russia. In 2020, Nokian Tyres net sales and operating profit in Russia are expected to decline substantially. 

Nokian Tyres continues with the growth strategy in Central Europe and North America in 2020 in line with plan. Operating profit in 2020 will include costs related to the North American expansion and other investment programs to support long-term growth, as communicated in 2018.

 

Stock exchange release, October 22, 2019: 

Nokian Tyres plc lowers its guidance for 2019

Due to weakened car and tire markets, Nokian Tyres plc lowers its earlier guidance for the full year 2019. The company expects markets to remain soft, and Nokian Tyres continues to adjust capacity in its factories accordingly.

Despite the headwind in the market, Nokian Tyres focuses on executing its strategy. In October, the company reached a significant milestone when it celebrated the opening of its new US factory in Dayton, Tennessee. The commercial tire production in US will start in January 2020. In addition, the construction of the new testing center in Spain and the project to increase Heavy Tyres’ capacity are proceeding according to plan.

Updated guidance for 2019

In 2019, net sales with comparable currencies are expected to be approximately at the level of 2018 and operating profit margin to be approximately at the level of 20%. In line with Nokian Tyres’ updated 2018 strategy, the company is targeting further growth in Russia, Central Europe, and North America. As a result of ongoing investment programs to support the growth, operating profit in 2019 will include significant additional operating costs. 

 

Stock exchange release, June 14, 2019:

Nokian Tyres plc lowers its earlier guidance for the full year 2019

Due to the weakened car demand and continuously soft car tire market especially in Central Europe, Nokian Tyres plc lowers its earlier guidance for the full year 2019. The company expects short-term weakness in sales volume growth in Central Europe to continue during the remainder of the year.

Updated guidance for 2019

In 2019, net sales with comparable currencies are expected to be slightly higher and operating profit to be lower compared to 2018. In line with Nokian Tyres’ updated 2018 strategy, the company is targeting further growth in Russia, Central Europe, and North America. As a result of ongoing investment programs to support the growth, operating profit in 2019 will include significant additional operating costs.

 

Interim Report January–March, May 8, 2019: 

Guidance for 2019 (unchanged)

In 2019, net sales with comparable currencies are expected to grow and operating profit to be approximately at the level of 2018. In line with Nokian Tyres’ updated 2018 strategy, the company is targeting further growth in Russia, Central Europe, and North America. As a result of ongoing investment programs to support the growth, operating profit in 2019 will include significant additional operating costs.

 

Financial Statement Release 2018, February 5, 2019:

Guidance for 2019

In 2019, net sales with comparable currencies are expected to grow and operating profit to be approximately at the level of 2018. In line with Nokian Tyres updated 2018 strategy, the company is targeting further growth in Russia, Central Europe and North America. As a result of ongoing investment programs to support the growth, operating profit in 2019 will include significant additional operating costs.

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