Nokian Tyres misses Q3 sales estimates amid auto sector downturn (updated)

Nokian Renkaat Oyj

29/10/2024 11:24

(Adds CEO comment in paragraph 3, context in paragraphs 2, 4,
result details and outlook from paragraph 5)
       Oct 29 (Reuters) - Finnish tyre maker Nokian Tyres
 TYRES.HE  posted lower-than-expected net sales for the third
quarter on Tuesday, hit by the weak automotive and tyre markets,
but stuck to its full-year outlook.
    The automotive industry in Europe has suffered from
significantly weaker demand and high production costs that have
led car part makers to cut jobs and lower their earnings
expectations.
    "The car and tire market is weak, and the current economic
uncertainties make it difficult to estimate the market and
consumer behavior," CEO Jukka Moisio said in the earnings
statement.
    Nokian has also been impacted by the Middle East conflict
and political strikes in Finland earlier this year.
    It posted third-quarter net sales of 313.6 million euros
($338.8 million), missing the 337.7 million euros expected by
analysts on average.
    Quarterly adjusted operating profit was 30.4 million euros,
roughly in line with market expectations of 30.6 million.
    The group said it still expected its full-year result to
improve significantly from 2023.

 (Reporting by Boleslaw Lasocki in Gdansk; editing by Milla
Nissi)
 ((boleslaw.lasocki@thomsonreuters.com; +48 58 769 66 00;))