Nokian withdraws 2022 outlook due to 'significant uncertainty'

NOKIA, Finland—Nokian Tyres has withdrawn its outlook for 2022 due to the ongoing Russia-Ukraine conflict.

In a statement Feb. 28, the Finnish tire maker said the Russian military actions in Ukraine and the consequent sanctions had caused "significant uncertainty" for the company.

The uncertainties, it added, mainly related to the functionality of the Russian financial and payment system as well as the Russian ruble exchange rate.

"Therefore, the board of directors of Nokian Tyres P.L.C. has decided to withdraw the company's financial guidance for 2022 published on Feb. 8," it said.

Due to the prevailing uncertainties, the company said it was not in a position to give any new guidance at the moment.

Earlier last month, Nokian said it expected net sales to "grow significantly" and segment operating profit to grow in 2022.

Nokian generated $367 million (€336 million) of sales from its tire production operations, based in Vsevolozhsk, Russia, last year.

The plant, near Saint Petersburg, has capacity to produce 17 million units per year of radial passenger car and light truck tires and employs over 1,600 people.