MILAN, Italy (March 27, 2008) — Pirelli & C. S.p.A. management said it expects fiscal 2008 financial results to be on par with last year, citing the uncertain world economy.
The firm said 2007 results improved slightly over 2006.
Pirelli management sees a slightly better year for its Pirelli Tyre S.p.A. unit — which accounts for 80 percent of the firm's sales — despite concerns over rising operational costs and the strengthening euro.
For 2007, Pirelli Tyre reported improved net and operating earnings as higher sales volumes and improved pricing and product mix, complemented by gains in productivity and cost containment, generated sufficient cash to overcome higher production costs and the negative effects of the exchange rate changes.
Pirelli Tyre reported net income of $288 million (up 5.6 percent), pretax operating income of $489.9 million (up 4.6 percent) and sales of $5.69 billion (up 6.5 percent).