Pirelli & C SpA delivered second-quarter financial results that aligned with analyst expectations, reporting revenue about 1% above consensus and operating profit roughly 1% higher than estimates. The Italian tyre maker confirmed its full-year guidance while revising components of its revenue outlook.
The company now anticipates a net 1% benefit from foreign exchange, which it said will be offset by a roughly 1% headwind from volumes. Management flagged a significant shift in the timing and direction of raw material cost effects: raw materials provided a €30 million tailwind in the first half of 2026 but are expected to create a €70 million headwind in the second half, with that impact beginning to show in the third quarter.
Pirelli signaled expectations for stronger volume trends in the United States during the second half of the year. Management cited easier year-on-year comparisons and existing orders that offer visibility of three to four months. The company also said recent price actions rolled out in May and June will support price and mix in the coming period.
On cost management, Pirelli reported that an ongoing efficiency program delivered €81 million of savings in the first half and is forecast to contribute a further €69 million in the second half, bringing the program total to €150 million for the year. The company added that an additional €20 million to €30 million of mitigation is expected from other measures.
Looking at organic growth, Pirelli projects about 4% organic expansion in the second half of the year, composed of approximately 3% from price and mix and 1% from volume. This compares with roughly 2.5% organic growth in the first half and 1.4% organic growth in the second quarter.
Financial expense guidance for 2026 is set in a €190 million to €200 million range. Management warned that the second half will face pressure from hyperinflation charges. For the full year, the company expects an effective tax rate between 32% and 34%.
Pirelli continues to balance near-term headwinds from raw material swings and volume dynamics with measures that bolster margins, namely price increases and targeted efficiency savings. The company left intact its full-year guidance while providing more granular visibility into where gains and pressures are likely to occur through the remainder of the year.