FINDLAY, Ohio (July 17)—Cooper Tire & Rubber Co. reported second-quarter net income of $13 million, down from $39 million during the same, record-setting period last year. Net sales increased half a percent to $840 million. For the first six months of the year, Cooper posted flat net sales of $1.6 billion and net income of $28 million compared to net income of $65 million in the first half of 2002. Cooper-Standard Automotive sales dropped 4 percent to $413 million on decreased light vehicle production in North America and pricing concessions, Cooper said. Operating profit for the group was also down at $26 million during the quarter compared to $44 million a year ago. The lower profitability was largely the result of lower overall production volume, pricing concessions, raw material cost increases and one-time tooling write-offs. The company´s Tire Group reported net sales of $432 million in the quarter, up 4 percent, and operating profit of $14 million compared to $37 million in the same period last year. The decline was the result of significantly higher raw material costs, lower volumes in North America and the cost of temporary production curtailments and plant inefficiencies. CEO and Chairman Thomas Dattilo, however, remained optimistic about the remainder of the year, citing rising replacement market volumes in June of 4 percent for the industry and 16 percent for Cooper.
Cooper's sales down in quarter, flat for first half
Rubber News wants to hear from its readers. If you want to express your opinion on a story or issue, email your letter to Editor Bruce Meyer at [email protected].