Pirelli reports sales and profits up nearly 20% in Q1

Pirelli has reported a marked increase in both sales revenues and pre-tax profits (EBIT), which were up 18.4 per cent and 19.6 per cent respectively. As a result of the increase, first-quarter 2021 revenues totalled 1,244.7 million euros. Meanwhile, the proportion of sales generated by so-called high value products now accounts for 72.6 per cent of total revenues, up 3 basis points compared with the first quarter of 2020.

According to Pirelli, total sales volumes grew 22.2 per cent, with the ≥18-inch subsegment growing 33 per cent. Both significantly outperformed the market average increase of 20 per cent. In the ≥19-inch subsegment Pirelli unit sales grew 50 per cent faster than the market, up 39 per cent compared with the segment average of 26 per cent.

Naturally, the increase in sales of larger diameter product is reflected positively in price/mix data which records a 2.3 per cent improvement in the first quarter 2021 compared with -1.3 per cent reduction in the first quarter 2020.

The outcome of both trends was increased profitability, with adjusted EBIT up 19.6 per cent to 168.8 million euros (compared with 141.1 million euros in first the quarter 2020) and a margin at 13.6 per cent (Q1 2020: 13.4 per cent). Pirelli’s first quarter 2021 net profit grew 9.6 per cent to 42.2 million euros.