After a year 2020 marked by the coronavirus pandemic, the group intends “fully seize the opportunities offered by the market rebound expected over the next 24 months “, according to its new industrial plan unveiled Wednesday.
“China is restarting faster than we had imagined, indications from the United States sometimes exceed our forecasts and Europe, despite some delays, is starting to show positive signs “, commented to the press the boss of Pirelli, Marco Tronchetti Provera.
The group aims for a turnover of between 5.1 and 5.3 billion euros by the end of 2022, remaining “focused on high-end“and by relying on a dominant position for tires 19 inches and over, a very buoyant segment.
By 2025, Pirelli forecasts a further increase in revenue and targets a range of between 5.7 and 6.2 billion euros. Investments are expected to reach between 1.2 billion and 1.3 billion euros between 2023 and 2025.
In a tire market severely disrupted by the Covid pandemic, Pirelli saw its turnover fall by 19.2% to 4.3 billion euros in 2020.
Pirelli’s high-end segment resisted the crisis better, with a drop limited to 14.4% in 2020 compared to -28.6% for standard tires. Thus, sales of high-end tires made up 70.4% of its turnover, against 66.5% in 2019.
Its net profit was divided by ten to 42.7 million euros.
According to Pirelli, the global tire market is expected to experience a significant increase in 2021, which will even be “two-digit ” for the high end.
Another objective announced by the group is to strengthen its position in the high-end market in China, where it is already number one in this segment.
Pirelli went under the Chinese flag in 2015 and returned to the Milan Stock Exchange in October 2017, two years after leaving it, placing 40% of its capital on the market. It still remains 37% controlled by the ChemChina group.
To ensure the implementation of the new industrial plan, Mr. Provera ankle boots, 73, intends to propose to shareholders the appointment of a vice-CEO: Giorgio Luca Bruno, director of Prometeon Tire Group, which brings together Pirelli’s former industrial tire business.