The Nokian Passenger Car Tyres unit develops, manufactures and markets summer and winter tyres for passenger cars and delivery vans as well as SUVs. Our key products are studded and non-studded winter tyres and high-speed summer tyres, which are the fastest growing product segments and also have the best margins in the tyre business. Nokian Tyresí most important brands are Nokian Hakkapeliitta, Nokian Hakka and Nokian Nordman. In 2012, winter tyres represented 74% of Nokian passenger car tyresí sales volume.
All of the unitís tyres are developed in Finland. The main products are manufactured in the companyís own plants in Nokia, Finland, and Vsevolozhsk, Russia and are sold in replacement markets. The main markets are the Nordic countries, Russia and the other CIS countries, the rest of Europe and North America.
Record year in 2012 and a good position for continuous growth
The net sales of Nokian passenger car tyres rose to a record level of more than EUR 1.2 billion, showing an increase of 13.9% from the previous year. The engine for growth was Russia, where the companyís sales grew nearly 50%, three times faster than the market. Operating profit grew to more than EUR 410 million.
Nokian Tyresí market share clearly improved in premium and mid tyre segments in Russia as a result of an expanding distribution and high brand awareness. The market share in winter tyres also improved in the Nordic countries.
The construction and commissioning of the new plant and warehouse next to the current ones in Russia proceeded as planned and on schedule. The first line in the new plant commenced production in June, and the second line (line 12) was installed at the end of the year. Production output (pcs) grew by 11% compared to the previous year, boosted by the increasing capacity in Russia. The combined output of the Nokia and Vsevolozhsk plants in 2012 was 15.7 million tyres and the annualised capacity at year end 18 million tyres.
The new summer tyre range, with the spearhead products Nokian Hakka Blue and Nokian Z G2, won several car magazinesí tests in the core markets and in Central Europe. In October, Nokian Tyres dominated the winter tyre tests with several victories in Nordic and Russian car magazines. The Central European winter test results have also been a huge success for Nokian Tyres, with test wins in key markets.
A major overhaul of our key winter product offering, altogether five new product ranges, took place in January 2013. The biggest launch ever included the new generation of the studded Hakkapeliitta 8 as well as the non-studded Hakkapeliitta R2 and the Hakkapeliitta R2 SUV, targeting further growth in core markets. In addition to the Nordic product range, Nokian Tyres is also introducing two new winter tyres for the Central European and North American markets: Nokian WR G3 and Nokian WR SUV 3.
Passenger car tyres:
Net sales, operating profit and operating profit%