Pirelli posted shrinking H1 20 revenue (-31.6% yoy), driven by its standard tyre segment (-38.8% yoy). This contraction led to a €-101.7m net income (-133.1% yoy) and €-698.8m FCF (-59.4% yoy). Despite a heavily weakened OEM market, Pirelli expects its High Value volume to contract by only 1% yoy in H2 20, reducing its total FY20 volume by at most c.20% yoy. In our opinion, this is rather optimistic as we expect FY20 volume to contract by c.21% yoy.
07 Aug 2020
High value, high expectations...in the second half
Sign up to access
Get access to our full offering from over 30 providers
Get access to our full offering from over 30 providers
High value, high expectations...in the second half
Pirelli posted shrinking H1 20 revenue (-31.6% yoy), driven by its standard tyre segment (-38.8% yoy). This contraction led to a €-101.7m net income (-133.1% yoy) and €-698.8m FCF (-59.4% yoy). Despite a heavily weakened OEM market, Pirelli expects its High Value volume to contract by only 1% yoy in H2 20, reducing its total FY20 volume by at most c.20% yoy. In our opinion, this is rather optimistic as we expect FY20 volume to contract by c.21% yoy.