Bridgestone Corp. posted net income of 117 billion yen on net sales of 1.7 trillion yen for the first half ended June 30, 2013. That compares to income of 75.2 billion yen on sales of nearly 1.5 trillion yen for the same period last year.
Based on the exchange rate on June 30, 2013, Bridgestone recorded income of close to $1.2 billion on net sales of $17.2 billion for the first half. Its income-to-sales ratio was 6.8%.
Bridgestone's operating income rose 42%, from 133.7 billion yen to 190.3 billion yen.
The Japanese and United States economies showed signs of recovering, while the European economy remained stagnant, according to the company. In contrast, Asian economic expansion showed signs of a slowdown, particularly in China and India.
In the tire segment, Bridgestone worked "to maximize sales momentum by introducing appealing new products globally, enhancing strategic products and reinforcing fundamental competencies such as specification optimization, and responding promptly to demand fluctuation in each region." Tires represent 85% of Bridgestone's total sales.
Tire income/sales in yen, 1H 2013
Year Net sales Operating income
2013 1.448 trillion 173.2 billion
2012 1.237 trillion 119.6 billion
"In the Americas, the unit sales of tires for passenger and light truck in North America increased firmly compared to the first half of fiscal 2012, as well as tires for trucks and buses," says the company.
For fiscal 2013, Bridgestone projects net income of 246 billion yen on net sales of close to 3.6 trillion yen. Compared to fiscal 2012 results, the projections are up 43% and 18%, respectively. The company predicts operating income will be up 40%, to 400 billion yen.
"The company's operating environment will continue to require careful attention due to such factors as fluctuations in exchange rates and the prices of raw materials and feedstock; an ongoing lack of clarity in the global economic situation; and international political conditions that remain unstable," adds Bridgestone.