Bridgestone Corporation · TSE:5108
Bridgestone — H1 2023 Earnings Presentation
15 slides from Bridgestone's earnings presentation, Aug 9, 2023
Slide 1: Financial Results for 1st Half of Fiscal 2023
Financial Results for 1st Half of Fiscal 2023 Bridgestone Corporation Aug 9, 2023 Global CFO and Executive Director, G Finance Naoki Hishinuma
Slide 2: Agenda
1. Business and Financial Performance ･･･ 3 for 1st Half of Fiscal 2023 2. Fiscal 2023 Guidance ･･･ 13 2/14
Slide 3: 1. Business and Financial Performance for 1st Half of Fiscal 2023
1. Business and Financial Performance for 1st Half of Fiscal 2023 3/14
Slide 4: Consolidated Results for 1st Half of Fiscal 2023
Consolidated Results for 1st Half of Fiscal 2023 (Yen in billions) 2022 1H 2023 1H vs. PY (%) Results Results 1Q vs. PY (%) 2Q vs. PY (%) Revenue 1,886.3 1,043.5 +17 1,058.2 +6 2,101.7 +11 Adjusted 206.6 116.8 +16 121.5 +15 238.3 +15 Operating Profit Margin 11.0% 11.2% (0.2) pp 11.5% + 0.9 pp 11.3%
Slide 5: Overview of the Performance for 1st Half of Fiscal 2023
Overview of the Performance for 1st Half of Fiscal 2023 Business and Financial Highlights ⚫ Amid tire demand for REP market is showing prominent decline vs. PY particularly for TB tires due to global economic slowdown, the Company is not changing the approach to ensure strategic price management and
Slide 6: Business Environment Surrounding Bridgestone Group
Business Environment Surrounding Bridgestone Group for 1st Half of Fiscal 2023 Currency ⚫ JPY depreciated against both USD and EUR compared with PY 1H: 1USD = 135 yen, 1EUR = 146yen (2Q: 1USD = 138 yen, 1EUR = 150 yen) Exchange (Reference) 1H’22: 1USD = 123 yen, 1EUR = 134 yen Raw Material ⚫ Raw mat
Slide 7: Tire Sales Units Growth (vs. PY)
Tire Sales Units Growth for 1st Half of Fiscal 2023 (vs. PY) PSR/LTR TBR ORR vs. PY vs. PY vs. PY Global 95% Global 87% Ultra-Large 105% OE OE (REP) Global 106% Global 96% Large 109% / OE 118% / Japan 118% Japan 113% N. America 107% N. America 87% REP 104% Europe 114% Europe 108% Small & Medium 96%
Slide 8: Analysis of Adjusted Operating Profit (vs. PY)
Analysis of Adjusted Operating Profit for 1st Half of Fiscal 2023 (vs. PY) (Yen in billions) (*1) Volume Price MIX (*2) Conversion +153.0 +12.0 (40.0) LA Currency Costs Currency Depreciation (47.0) (*3) (21.0) (*4) Operating +47.0 Others Expenses (22.3) Raw (4.0) 238.3 Materials 206.6 (46.0) *3 incl
Slide 9: Consolidated Financial Results by Segment
Consolidated Financial Results by Segment for 1st Half of Fiscal 2023 (Yen in billions) 2022 1H 2023 1H vs. PY (%) Results Results Revenue 531.5 607.6 +14 Japan* Adjusted OP 55.2 89.1 +62 Margin 10.4% 14.7% +4.3 pp Revenue 891.1 1,013.1 +14 Americas Adjusted OP 112.3 118.7 +6 Margin 12.6% 11.7% (0.9
Slide 10: Consolidated Financial Results by Product
Consolidated Financial Results by Product for 1st Half of Fiscal 2023 (Yen in billions) 2022 1H Results 2023 1H Results (*1) vs. PY (%) Revenue 989.3 1,135.5 +15 Adjusted OP 107.2 118.2 +10 PS/LT (incl. retail & credit card business) Margin 10.8% 10.4% (0.4) pp Revenue 499.6 508.2 +2 Adjusted OP 41.
Slide 11: Consolidated Financial Results by Business
Consolidated Financial Results by Business for 1st Half of Fiscal 2023 (Diversified Products Business – Continuing Operations) (Yen in billions) Sports & Cycle Biz Revenue 32.1 Adjusted OP 1.4 Margin 4.2% Diversified Products Business Chemical & Industrial Products Biz Revenue 149.2 Adjusted OP 5.6
Slide 12: B/S and C/F Highlights
B/S and C/F Highlights for 1st Half of Fiscal 2023 (Yen in billions) 2022 Results 2023 1H Results (as of Dec. 31, 2022) (as of Jun. 30, 2023) vs. Dec. 31, 2022 Total Assets* 4,962.2 5,391.3 +429.1 Total Equity* 3,012.5 3,373.6 +361.1 Equity Ratio (%)* 59.8% 61.6% +1.8pp Interest-Bearing Debt 〈Net〉 2
Slide 13: 2. Fiscal 2023 Guidance
2. Fiscal 2023 Guidance 13/14
Slide 14: Fiscal 2023 Guidance
Fiscal 2023 Guidance Forecast of Business Environment Currency Exchange ⚫ 2H Assumptions: 1USD=133 yen, 1EUR=143 yen (Full-year basis: 1USD=134 yen, 1EUR=144 yen) ⚫ Raw materials: Price for natural rubber and crude oil is expected to slowly increase vs. PY as the economy recovers in 2nd half of Raw
Slide 15: 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