Back in line with 2019 levels: Michelin publishes full-year 2021 results

Compagnie Générale des Établissements Michelin (the Michelin Group) delivered segment operating income of 2,966 million euros and a margin of 12.5 per cent, which was “back in line with 2019”, according to the company. Specifically, Sales rose by 16.3 per cent to 23,795 million euros and segment operating income stood at 2,966 million euros.

During 2021 tyre volumes rose 11.8 per cent while non-tyre sales grew 7.7 per cent. Michelin put the results down to the pricing power of its brand, OE growth and market share gains in 18-inch and larger tyres.

Managing chairman Florent Menegaux said it wanted to reward loyal staff with increases in “variable compensation”:

Michelin returned to pre-pandemic levels during the course of 2021 (Photo: Michelin)

“In 2021, Michelin delivered very good results in extremely difficult conditions, while maintaining the priority to protect its employees. I would like to warmly thank all our employees who, every day, are successfully meeting the many challenges we face. In line with our drive to share the value created by our group, we will reward their dedication in these exceptional circumstances, in particular through a substantial increase in variable compensation for the year. With these 2021 results, our Group has once again demonstrated its strength and resilience.”

Looking forward, Michelin expects “a still highly unsettled environment”. Nevertheless, passenger car and light truck tyre markets are expected to expand by 0 to 4 per cent over the year. And truck tyre markets are expected to grow by 1 to 5 per cent. Specialty markets are predicted to experience the strongest growth of 6 to 10 per cent. With that in mind, Michelin’s objective is aiming for full-year segment operating income in excess of 3.2 billion euros.