For Financial Year 2014, the Giti Tire Group recorded revenues of USD 3.5 billion, with an operating profit of USD 315 million.
These results are the culmination of a number of key success factors, including strong infrastructure, an experienced management team, strategic investments in facilities (e.g. new R&D and proving ground) and focus on technological innovation in production.
As the group worked towards new goals, it also faced challenges. Generally slower economy growth in markets such as Europe, China and Latin America has brought caution to distributors and manufacturers around the world. Another consideration is the decline in prices of raw materials. This inevitably lowered the per-unit price of tires and in turn, the group’s overall financial performance.
In spite of the slowed economic development in China, the country still remains one of Giti Tire’s largest markets. The consumer car tire OE portfolio especially has contributed immensely with sustained growth.In the North and Latin American markets, increasing competition and trade protectionism brought a slight dip in the growth figures of the group. But the group showed its resilience in these regions through the support of a network of leading retail partners and an attractive product mix.
The Giti Tire team in Europe continues to expand the group’s presence, with an experienced and dynamic team has enabled the group to successfully tackle a complex and deeply segmented European passenger car market. This mirrored the environment in Asia (excluding China) for Giti Tire, as the company focused on expanding its presence in ASEAN consumer and commercial tires markets, as well as new opportunities in Central Asia. Elsewhere in the Middle East, Africa, and Oceania markets, showed similar performance when compared to the previous year.