KOBE, Japan (Aug. 14, 2012)—Sumitomo Rubber Industries Ltd. reported strong double-digit gains in operating and net income for the three- and six-month periods ended June 30 on measurably improved sales.
Sumitomo's operating and net income for the second quarter rose 61.5 and 34.6 percent, respectively, to $204.3 million and $79.4 million. Sales were up 7.8 percent to $2.1 billion, generating operating and net earnings ratios of 9.8 and 3.8 percent.
The tire unit reported 46-percent higher operating earnings of $175 million on 7-percent better sales of $1.79 billion.
For the half year, operating and net income rose 63.1 and 83.8 percent, respectively, to $405.3 million and $206.3 million, while sales were up to $4.19 billion.
As a result, the operating and net earnings ratios jumped 3 and 2 percentage points, respectively to 9.7 and 4.9 percent.
Sumitomo did not comment on the reasons for the gains, disclosed in its investors' “Flash Report” for the Jan. 1-June 30 accounting period.
SRI's tire segment operating earnings for the half year jumped 55.4 percent to $352.4 million on 11.7-percent higher sales of $3.62 billion, for an earnings ratio of 9.7 percent.
SRI did not report geographical segment sales or earnings at this time.
In the past few weeks, Sumitomo has christened production at its passenger tire plant in Changsha, China, and created a sales joint venture in India with Stamford Tyres Corp.