Yokohama Rubber Sales and Earnings Down

Yokohama Rubber Co., Ltd., first quarter sales are down 22.7 per cent compared with the same period in the previous financial year. Yokohama's sales totalled 95.2 billion yen in the three months to 30 June 2009. The company's Tire Group sales slumped amid weak demand in Japan and in North America, western Europe, and “most other overseas markets,” according to the company. Although Yokohama posted tyre sales gains in the Russian and Chinese markets.

Yokohama Tire Group sales declined 20.6 per cent from the first quarter of 2008 to 73.8 billion yen, and the group posted an operating loss of 3.6 billion yen, compared with operating income of 3.2 billion yen in the previous first quarter. Sales in Yokohama’s Multiple Business Group declined 29.2 per cent compared with the first quarter of the previous fiscal year, to 21.4 billion yen, and the group posted an operating loss of 500 million yen, compared with operating income of 1.0 billion yen in the previous first quarter.
 
Yokohama projects that net sales will decline 5.3 per cent in the fiscal year to March 31, 2010, to 490 billion yen. That projection reflects continuing weakness in demand amid the global economic slowdown and concerns about a possible further appreciation of the yen.