MILAN— Pirelli & C. S.p.A. expects a "more moderate pace of growth" during 2022 following a strong rebound that saw the tire maker exceed revenue target last year.
The Italian manufacturer expects revenue to come in between $6.1 billion and $6.2 billion (€5.6 billion and €5.7 billion), up from nearly $5.8 billion reported last year, Pirelli announced in its annual financial report published March 29.
The company anticipates a total growth in volumes of between 1.5 percent and 2.5 percent, reflecting an increase of 6-7 percent in unit sales of "high value," large rim-sized tires and a 3-4 percent decline in standard volumes.
Furthermore, Pirelli expects a price/mix improvement by 5.5-6.5 percent, helped by further price increases and a "more favorable mix."
EBIT margin, Pirelli said, is projected to come in between 16 percent and 16.5 percent, up from 15.3 percent last year.
Elaborating on the potential risks in 2022, Pirelli said it expected mature and emerging markets to be impacted by the Omicron variant of COVID-19 "at least for the first few quarters of the year."
In addition, higher energy prices and, more generally, the continuation of "a higher and more persistent inflationary scenario" are expected to affect results.