A solid financial structure

Robust financial performance is crucial for the future of the Group. It guarantees both growth and independence. In 2017, an increase in operating income and its free cash flow kept its debt ratio low.


In 2017, volumes rose by 2.6 percent year-on-year with gains in all our business lines, starting with Michelin brand 18-inch and larger tires, whose sales rose 19 percent in a market up 13 percent. In specialty businesses volumes increased by as much as 16 percent. Our operating margin on recurring activities came to 12.5 percent of net sales.”  Jean-Dominique Senard, Michelin Group CEO

Objectives for 2020

  1. To have a structural free cash flow (cash flows from operating activities less cash flows used in investing activities) of more than €1.4 billion a year from 2020 onward.
  2. From 2020, achieve an after-tax return on capital employed (ROCE) of no less than 15 percent at a constant scope of consolidation excluding goodwill.

Rate of progress

  1. Structural free cash flow €1,509 billion in 2017 (€961 million in 2016, €833 million in 2015)
  2. Return on capital employed: 11.9 percent in 2017 (12.1 percent in 2016, 12.2 percent in 2015)

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