(RTTNews) – French tire maker Michelin Cie Des Estb (MGDDY.PK, MGDDF.PK) reported that its fiscal 2020 net income was 625 million euros, sharply lower than last year’s 1.73 billion euros, hurt by Coronavirus pandemic.
Earnings per share were 3.52 euros, down from 9.69 euros a year ago.
Segment operating income was 1.88 billion euros, lower than last year. Operating margin declined to 9.2 percent from 12.5 percent a year ago.
Sales of 20.47 billion euros declined 15 percent from prior year’s 24.14 billion euros. The Covid-19 crisis led to 14 percent decline in volumes.
Further, the company announced a recommended dividend of 2.30 euros per share, higher than last year’s 2 euros per share.
Looking ahead for fiscal 2021, the company expects to deliver segment Operating income in excess of 2.5 billion euros at constant exchange rates and structural Free cash flow of around 1 billion euros.
In 2021, in a still highly uncertain environment as the health crisis unfolds, Passenger car and Light truck tire markets are expected to expand by 6 percent to 10 percent over the year, Truck tire markets by between 4 percent and 8 percent, and the Specialty markets by 8 percent to 12 percent.