Cooper posts $55.4M loss in 3rd quarter; revenue up 3.4%
08.11.2008 10:02
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- Source: toledoblade.com
FINDLAY - Following many of its counterparts across the automotive industry, Findlay's Cooper Tire & Rubber Co. yesterday reported a loss of $55.4 million, or 94 cents a share, for the third quarter. The loss was a dramatic turnaround from the $30.2 million profit, or 48 cents per share, that Cooper reported for the same period in 2007, and came despite increasing revenues even as demand weakened for the company's products. Revenues for the aftermarket tire company rose 3.4 percent to a record $794 million, up $26 million from $768 million during the same period a year ago. Through the first nine months of 2008, Cooper generated a record $2.2 billion in net revenues. Net losses were $76 million during the same period, compared with net income of $53 million during the same period in 2007. The loss reflects weakening demand for replacement tires and higher costs for rubber, oil, steel, and other supplies, which shaved $104 million from North America results, Cooper CEO Roy Armes said on a conference call. "We're going to be adjusting our production to get a little more in line with demand," Mr. Armes told analysts and reporters. Cooper had announced it was conducting a review of its four North American manufacturing locations, including Findlay's, to determine which of them to shut. That study is expected to be completed by February.
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