Pirelli confirms 2026 outlook after third-quarter EBIT beats forecasts
Weaker market conditions are not preventing Pirelli from sticking to its annual targets as higher-priced tyre sales and tighter cost controls support profitability. The Italian group reports third-quarter adjusted EBIT of 283 million euros, above analyst consensus, while narrowing its full-year revenue guidance to the upper end of its previous range.
Highlights
- Pirelli's third-quarter adjusted EBIT rose 2.1% year-on-year to 283 million euros, surpassing the 275 million euro consensus estimate.
- Pirelli raised its 2023 revenue guidance to a range of 6.85 billion euros to 6.95 billion euros, up from its previous 6.75 billion euro minimum.
- Pirelli maintained its full-year adjusted EBIT margin target at around 16%, despite a decline to 15.9% in Q3 from 16.3% a year earlier.
Quarterly performance and updated revenue range
As reported by Reuters, Pirelli says third-quarter operating income rises 2.1% as sales of higher-priced products and cost-cutting measures help offset inflationary pressure and lower sales volumes.Adjusted earnings before interest and tax, or EBIT, reach 283 million euros in the quarter, slightly above a company-provided analyst consensus of 275 million euros. The company says the result also benefits from exchange rates and cost containment measures aimed at mitigating the impact of the Middle East crisis.
Pirelli confirms its 2026 forecasts set earlier this year, despite what it describes as a worsening in broader market conditions. It now expects full-year revenue of between 6.85 billion euros and 6.95 billion euros, compared with its previous range of 6.75 billion euros to 6.95 billion euros.
Margin trends and market implications
The forecast for full-year adjusted EBIT margin is confirmed at around 16%, indicating that the company still expects pricing and efficiency measures to support earnings even as volumes remain under pressure.In the third quarter, revenue grows 3% year on year, while the EBIT margin narrows to 15.9% from 16.3% a year earlier. The figures suggest that Pirelli is preserving resilience in a softer tyre market, but still faces pressure from weaker demand and a less favourable operating backdrop.
Our earlier article on Mario Draghi’s warning about the macro policy trade-off between inflation control and long-term growth explained how keeping interest rates above growth rates can worsen public-debt dynamics and raise the risk of “fiscal dominance.” It also argued that central banks should prioritize price stability while avoiding unnecessarily restrictive rate paths that would curb productive investment, alongside EU-level measures to support innovation and resilience.
Latest Pirelli News
-
Afghanistan
-
Albania
-
Algeria
-
Angola
-
Argentina
-
Armenia
-
Australia
-
Austria
-
Azerbaijan
-
Bahamas
-
Bahrain
-
Bangladesh
-
Belarus
-
Belgium
-
Bolivia
-
Botswana
-
Brazil
-
Brunei
-
Bulgaria
-
Cambodia
-
Cameroon
-
Canada
-
Chile
-
China
-
Colombia
-
Congo
-
Costa Rica
-
Cote d'Ivoire
-
Croatia
-
Cuba
-
Cyprus
-
Czechia
-
DR Congo
-
Denmark
-
Dominican Republic
-
Ecuador
-
Egypt
-
El Salvador
-
Estonia
-
Eswatini
-
Ethiopia
-
Finland
-
France
-
Georgia
-
Germany
-
Ghana
-
Greece
-
Haiti
-
Hong Kong
-
Hungary
-
India
-
Indonesia
-
Iran, Islamic republic
-
Iraq
-
Ireland
-
Israel
-
Italy
-
Jamaica
-
Japan
-
Jordan
-
Kazakhstan
-
Kenya
-
Korea
-
Kuwait
-
Kyrgyzstan
-
Laos
-
Latvia
-
Lebanon
-
Lesotho
-
Libya
-
Lithuania
-
Luxembourg
-
Madagascar
-
Malaysia
-
Malta
-
Mauritius
-
Mexico
-
Moldova
-
Mongolia
-
Montenegro
-
Morocco
-
Mozambique
-
Myanmar
-
Namibia
-
Nepal
-
Netherlands
-
New Zealand
-
Nigeria
-
North Macedonia
-
Norway
-
Oman
-
Pakistan
-
Palestine
-
Panama
-
Papua New Guinea
-
Paraguay
-
Peru
-
Philippines
-
Poland
-
Portugal
-
Puerto Rico
-
Qatar
-
Reunion
-
Romania
-
Rwanda
-
Saudi Arabia
-
Serbia
-
Singapore
-
Slovakia
-
Slovenia
-
Somalia
-
South Africa
-
Spain
-
Sri Lanka
-
Sweden
-
Switzerland
-
Syria
-
Taiwan
-
Tajikistan
-
Tanzania
-
Thailand
-
Trinidad and Tobago
-
Tunisia
-
Turkey
-
UAE
-
Uganda
-
Ukraine
-
United Kingdom
-
United States
-
Uruguay
-
Uzbekistan
-
Venezuela
-
Vietnam
-
Yemen
-
Zambia
-
Zimbabwe
- Forex
- Crypto
