Michelin Profit up 37% in H1 image

French tire maker Michelin said first-half profit rose 37 percent, supported by a rise in revenues.

Net income increased to 915 million euros from 667 million euros. Revenue rose 5.9 percent to 10.71 billion euros even as volumes fell.

Confident in its strengths, Michelin confirms its full-year objective of reporting a clear increase in operating income before non-recurring items. Following the decline in demand in the first half, sales volumes are now expected to end the year down by 3% to 5% the company said.

However, this should be offset mainly by more favorable raw materials costs and a positive currency effect. Michelin also confirms its objective of generating positive free cash flow, before the impact of the sale of a property complex in Paris (complex at 46 avenue de Breteuil).

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