TOKYO (Feb. 18, 2011)—Bridgestone Corp. finished fiscal 2010 solidly in the black and more than doubled its operating income, but the company expects earnings to fall slightly this year on the effects of rising raw materials costs and a stronger yen.
Bridgestone's net income of $1.13 billion was a nearly 100-fold increase over 2009 and represents 3.5 percent of the firm's sales of $32.6 billion, which were up 10.2 percent over 2009. Operating earnings surged 119.8 percent to $1.9 billion, or 5.8 percent of sales.
Bridgestone reported measurable earnings and sales growth in both its tires and diversified products business segments and in each of its geographic segments.
The tire segment's operating income doubled to $1.75 billion on 10.6-percent higher sales of $27.1 billion on unit sales increases in all tire categories worldwide, Bridgestone said.
Operating income in Bridgestone's Americas region was up 40.1 percent to $550 million on 8-percent higher sales of $13.9 billion. The company reported a “great increase” in the sasles of ultra-high-performance tires in the replacement sector in North America.
Asia led Bridgestone's growth last year, with sales in Japan up 14 percent and 20 percent in other Asian/Pacific and African countries.
For fiscal 2011, Bridgestone said it anticipates double-digit declines in operating and net income, while sales are expected to grow 11 percent to about $36 billion.