Cooper Tire & Rubber Q2 Income Up, Revenues Down

Cooper Tire & Rubber Company (NYSE: CTB) reported higher second quarter 2015 net income of $60 million, or diluted earnings per share of $1.03, compared with $38 million, or $0.59 per share, in the second quarter of last year.

Net sales were $752 million compared with $889 million in the second quarter of 2014.

According to the company, “the sales decline was fully attributable to the absence of CCT, the company’s former joint venture in China. Cooper sold its interest in the joint venture during the fourth quarter of 2014.”

Excluding the impact of CCT, second quarter 2015 sales rose 5 percent as a result of higher unit volume of $64 million, with increases in both the Americas and International segments. The unit volume increase was partially offset by unfavorable price and mix of $20 million, related to lower raw material costs, and negative foreign exchange of $8 million.

Second quarter 2015 operating profit was $99 million compared with $77 million for the same period last year, which included $25 million from CCT.

Excluding CCT, operating profit increased more than 90 percent, resulting from favorable raw material costs of $76 million, higher volume of $14 million, and lower product liability and selling, general and administrative (SG&A) costs of $5 million.

These benefits were partially offset by unfavorable price and mix of $27 million, $13 million of higher manufacturing costs, and $7 million of other costs and foreign

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