The UK arm of tyre giants Goodyear and Dunlop has seen its sales soar to almost £3bn following its ongoing efforts to raise the profile of its retail brands.
Goodyear Tyres UK, which is headquartered near Solihull, achieved a turnover of £2.9bn in 2023, up from £2.7bn the previous year, according to newly-filed documents.
Its pre-tax profit also increased, rising 10 per cent to £11m in the same period.
The firm said this improved financial position was down in part to significant investment in its brands Dunlop and Goodyear, which it said it was “redefining” to reach more specific customer groups.
In a report published on Companies House, Goodyear said: “The objective is to strengthen Goodyear’s group position and expand its market coverage, thus offering a more complementary and competitive brand and product portfolio to address the industry trends and the different consumer profiles identified through a consumer segmentation study.
“The new approach will enable Goodyear to work smarter with its network of distributors and retailers to maximise growth together, with product and brand power at the epicentre.
“In the UK the new brand portfolio strategy was implemented during 2023 and is strengthening the company’s position in the market and supporting growth in both the retail and wholesale network.”
Despite a strong performance the company said it still faced a number of challenges, including uncertainty around the “prolonged economic downturn”, inflation and labour shortages.
However it said it believed it could overcome these potential issues by tapping into the growing demand for tyres made specifically for electric and driver-less vehicles, as well as investing in developing products that help to increase fuel efficiency.
Last January the company unveiled a new demonstration tyre made of 90 per cent sustainable materials, which when tested was found to have improved rolling resistance than an average traditional tyre.