Nokian reduces losses

In the first quarter of 2026, Nokian Tyres, despite uncertainties in the global market, was able to reduce its loss more significantly than analysts expected, due to the increase in prices for passenger car tires, reports Reuters.

Nokian's adjusted operating loss decreased from 18.5 million euros a year earlier to 4.3 million euros, while analysts forecast that this figure would be around 6.7 million euros. After the announcement of the financial results, the company's shares rose by more than 5%.

Nokian notes that the indicators were positively affected by both the growth in tire prices and the increase in sales volumes, as well as a reduction in production costs. At the same time, uncertainties remain, including due to the Middle East conflict, as a sharp increase in oil prices could lead to an increase in the cost of synthetic rubber, a derivative of which is used as a raw material for the tire industry.

Nokian's quarterly revenue grew by 3.8% to 279.6 million euros, which is slightly lower than analysts' expectations. Following the quarter, the tire manufacturer confirmed its forecast for the entire 2026 year.

Nokian's CEO and President, Paolo Pompei, noted that in January-March, the company increased sales in all regions of presence and also significantly increased operating profit. "The growth in both revenue and operating profit has been observed for the fourth quarter in a row, which is the result of a disciplined implementation of our strategy," he said. "We are also constantly strengthening our position in the premium tire segment and improving our efficiency with the help of numerous initiatives being implemented at our production sites and in various divisions."

According to Pompei, "the brightest event of the quarter was the premiere of [winter tires with retractable studs] Nokian Tyres Hakkapeliitta 01". "This is not only our latest technological breakthrough but also one of the most significant innovations in the winter tire market in several decades," he said. "By releasing studded tires that automatically adapt to temperature changes, we are raising the bar for the entire industry. Together with our other flagship products presented in the first quarter, such as the [friction winter tire of the European type] Nokian Tyres Snowproof 3P, the new studded model demonstrates our powerful innovative potential in the development of winter tires and confirms our leadership in the segment, which is key to our history and business."