Bridgestone Corporation · TSE:5108
Bridgestone — H1 2019 Earnings Presentation
17 slides from Bridgestone's earnings presentation, Aug 9, 2019
Slide 1: Financial Results for 1st Half of Fiscal 2019
Financial Results for 1st Half of Fiscal 2019 Bridgestone Corporation August 9, 2019
Slide 2: Agenda
１. Business and Financial Performance P.3 for 1st Half of Fiscal 2019 ２. Consolidated Projections for Fiscal 2019 P.10 2 /17
Slide 3: 1. Business and Financial Performance for 1st Half of Fiscal 2019
1. Business and Financial Performance for 1st Half of Fiscal 2019 3 /17
Slide 4: Business Environment Surrounding Bridgestone Group
Business Environment Surrounding Bridgestone Group ●USD: Weaker JPY, EUR: Stronger JPY vs PY Currency Exchange 1USD=110yen, 1EUR=124yen （Ref.）2018H1：1USD＝109yen 1EUR＝131yen ●Natural Rubber : Higher vs PY Raw Material Crude Oil : Lower vs PY Prices Carbon : Remain high Tire Demand ●Weaker demand in N
Slide 5: Tire Sales Growth for 1st Half of Fiscal 2019
Tire Sales Growth for 1st Half of Fiscal 2019 (Year-on-Year, unit base) PSR TBR ORR ※ OE & REP OE & REP Global 97％ Global 99％ Ultra-Large 105％ Large 105％ OE OE Japan 104% Japan 95% -Steady growth in H1 N. America 89% N. America 108% Europe 101% Europe 100% China/ China/ Asia Pacific 98％ Asia Pacific
Slide 6: Consolidated Results for 1st Half of Fiscal 2019
Consolidated Results for 1st Half of Fiscal 2019 (Yen in billions) Note: Figures within parentheses mean minus (Ref. Feb 15, 2019 2018 2019 announcement) vs PY（%） 1 Half Results st 1 Half Results st 2019 1 Half Projections st Net Sales 1,775.4 1,744.6 (2) 1,740.0 Tires 1,474.0 1,456.0 (1) 1,450.0 Di
Slide 7: Analysis of Consolidated Operating Income
Analysis of Consolidated Operating Income for 1st Half of Fiscal 2019 (Yen in billions) 250 Price Raw Materials Foreign 230 +18.0 (12.0) Volume Exch. Loss SGA (13.0) (2.0) (4.0) Depreciation 210 (10.0) Others 190 +5.0 (18.0) Changes in Accounting Policies +TomTom Consolidation 170 (18.0) 199.4 150 1
Slide 8: Financial Results for 1st Half of Fiscal 2019: Geographic Segments
Financial Results for 1st Half of Fiscal 2019: (Yen in billions) Geographic Segments Note: Figures within parentheses mean minus (Ref. Feb 15, 2019 2018 2019 announcement) vs PY（%） 1 Half Results st 1 Half Results st 2019 1st Half Projections Consolidated 1,775.4 1,744.6 (2) 1,740.0 Net Sales Japan
Slide 9: B/S and C/F Highlights
B/S and C/F Highlights for 1st Half of Fiscal 2019 (Yen in billions) Note: Figures within parentheses mean minus FY 2018 FY 2019 1st Half (As of Dec.31, 2018) (As of Jun.30, 2019) vs Dec. 31, 2018 Total Assets 3,840.2 3,944.0 +103.7 Net Assets 2,436.1 2,311.2 (124.9) Ratio of total equity to total a
Slide 10: 2. Consolidated Projections for Fiscal 2019
2. Consolidated Projections for Fiscal 2019 10 /17
Slide 11: Forecast of Business Environment Surrounding Bridgestone Group
Forecast of Business Environment Surrounding Bridgestone Group (“Projection”; released on Feb. 15 , 2019) th ●USD: Stronger JPY, EUR: Stronger JPY vs PY Currency 1USD=107yen, 1EUR=122yen Exchange （Ref.）2018 FY 1USD＝110yen 1EUR＝130yen Projection FY 1USD＝108yen 1EUR＝123yen ●In line with guidance Raw M
Slide 12: Tire Sales Growth Projections for Fiscal 2019
Tire Sales Growth Projections for Fiscal 2019 (Year-on-Year, unit base) PSR TBR ORR ※ OE & REP OE & REP Global around ±0% Global around ±0% Ultra-Large 110％ Large 115％ OE OE Japan ～+5% Japan ～-5% -Sustained growth in N. America -6%～-10% N. America ～+5% Ultra-Large and Large ORR Europe ～+5% Europe ～-
Slide 13: Consolidated Projections for Fiscal 2019
Consolidated Projections for Fiscal 2019 (Yen in billions) （Ref. Feb 15, 2019 2018 2019 announcement） VS PY（%） Results Projections 2019 Projections Net Sales 3,650.1 3,620.0 (1) 3,690.0 Tires 3,051.4 3030.0 (1) 3,090.0 Diversified 618.7 590.0 (5) 600.0 Products Operating Income 402.7 375.0 (7) 410.0
Slide 14: Analysis of Consolidated Operating Income for Fiscal 2019
Analysis of Consolidated Operating Income for Fiscal 2019 Foreign Volume Exch. Loss SGA (Yen in billions) +27.0 (22.0) (44.0) Price Raw Materials 450 +34.0 (10.0) (3.0) Depreciation (23.0) 400 Others +10.3 Changes in Accounting Policies +TomTom Consolidation 10 (41.0) 350 402.7 375.0 300 2018 Operat
Slide 15: Projections for Fiscal 2019: Geographic Segments
Projections for Fiscal 2019: (Yen in billions) Geographic Segments Note: Figures within parentheses mean minus (Ref. Feb 15, 2019 2018 2019 announcement) vs PY（%） Results Projections 2019 Projections Consolidated 3,650.1 3620.0 (1) 3,690.0 Net Sales Japan 1,170.5 1180.0 +1 1,190.0 The Americas 1,758
Slide 16: Summary
Summary Consolidated Financial Results H1 In weaker than expected markets, operating income was below Results guidance due to lower sales volume. FY Revised 2019 guidance given the external market situation. Projection Operating income from tire business flat with previous year except for FX impact
Slide 17: Forward-looking statements disclaimer
Statements made in this presentation with respect to Bridgestone's current plans, estimates, strategies and beliefs and other statements that are not historical facts are forward-looking statements about the future performance of Bridgestone. Forward-looking statements include, but are not limited t