SINGAPORE (Dec. 7, 2005) — Global wholesaler Stamford Tyres Ltd., which will begin selling tires next year in the U.S., posted better-than-expected results for the first half of fiscal 2005.
Net earnings for the private brand marketer and global wholesaler more than doubled during the period to $3.9 million while sales were up 32 percent to $70.8 million. Management cited strong regional demand for existing brands and for the company's new line Sumo Firenza tires for the jump in earnings.
Looking ahead, Stamford said it expects sales to continue growing at a double-digit pace and for margins to increase on the strength of product development and sales of its proprietary products.
“The main reason for our good growth in the top line is due to continued investment and growing relationships with our major brand partners,” said Wee Kok Wah, president of Stamford Tyres. “This will continue to grow as the manufacturers increase their range of products and capability. We will correspondingly increase our distribution and retail capabilities as well.”
In North America, Medley, Fla.-based Stamford Tire & Wheels Inc. started selling Stamford's proprietary SSW alloy wheel line and is gearing up for the launch next year of Stamford's proprietary “Cougar” commercial truck tire and “Akina” ultra-high-performance passenger tire lines.
Until now, Stamford Tire & Wheel had used its 20,000-sq.-ft. Miami-area warehouse to service Latin America and the Caribbean. Former Continental Tire North America Inc. and Bridgestone/Firestone executive Jim Seidel is heading up Stamford's push into North America.
Established in the 1930s, Stamford Tyres is a global tire and light alloy wheel specialist, operating distribution companies in a dozen countries on five continents.
Besides its proprietary Sumo and Sumo Firenza tire and SSW wheel brands, it distributes and retails brands such as Falken, Dunlop, Continental and Toyo throughout Asia. It has retail outlets in Singapore and Malaysia and a wheel-making subsidiary in Thailand.