FINDLAY, Ohio • Cooper Tire & Rubber Company today reported first quarter 2021 net income of $22 million, or 43 cents per share, compared with a net loss of $12 million, or 23 cents a share, for the same period last year.
The results also included $11 million of costs related to the proposed merger with Goodyear.
Cooper said sales increased more than 23% for the quarter, from $532 million to $656 million. In addition, global volume jumped 16.6%
“We are pleased to have delivered strong first quarter operating results. Our teams continued to do a great job executing our strategy, which resulted in first quarter 2021 volume that exceeded not only the coronavirus-impacted 2020 level, but also 2019 in both segments,” said President and Chief Executive Officer Brad Hughes.
Cooper’s first quarter total light vehicle tire shipments in the U.S. increased 18.4%. The U.S. Tire Manufacturers Association reported that its member shipments of light vehicle tires in the U.S. increased 13.7%. Total industry shipments (including an estimate for non-USTMA members) increased 10.9%for the period.
First quarter international sales increased 36.1% as a result of $48 million of higher unit volume and $6 million of favorable foreign currency impact, which were partially offset by $17 million of unfavorable price and mix. For the quarter, segment unit volume was up 47.2% compared to the same period a year ago.
“Demand remained strong for the industry and Cooper in the first quarter.,” Hughes said. “Our unit volume performance in the quarter, while strong, continued to be constrained by supply that fell short of demand, caused in part by severe weather in the southern U.S. that impacted our ability to produce and move products.”
Cooper also said the Goodyear merger could close earlier than the projected date of the second half of this year.
Last week, Cooper said its shareholders, by a 99% margin, approved the $2.8 billion merger that would see Goodyear shareholders own 84% of the combined company and Cooper shareholders the remaining 16%.