Skip to main content
Sister Publication Links
  • European Rubber Journal
  • Plastics News
  • Tire Business
Subscribe
  • Login
  • Register
  • Subscribe
  • News
    • Automotive
    • Tire
    • Non-Tire
    • Suppliers
    • Silicone
    • Online Exclusive
    • Latex
    • Technical Notebooks
    • Executive Action
    • Government/Legal
    • Opinion
    • Rubber Division IEC
    • ITEC
    • Blogs
    • Sustainability
    • Products
    • Wacky World of Rubber
  • War in Ukraine
  • Custom
    • Sponsored Content
    • White Papers
  • Resources
    • Directory
    • Classifieds & Mold Mart
  • Data
  • Events
    • RN Events
    • RN Livestreams/Webinars
    • Industry Events
    • Past Events
    • Rubber News M&A Live
    • 2022 Hose & Belt Manufacturers Conference
    • 2022 International Silicone Conference
    • 2022 International Tire Exhibition & Conference (ITEC)
  • Advertise
  • DIGITAL EDITION
MENU
Breadcrumb
  1. Home
  2. Financial
February 28, 2020 12:11 PM

Bridgestone's 2019 profits slip as sales dip

Tire Business Report
  • Tweet
  • Share
  • Share
  • Email
  • More
    Print

    TOKYO—Bridgestone Corp. reported a 19 percent drop in operating profit for fiscal 2019, to $3 billion, on 3.4 percent lower sales of $32.4 billion.

    Bridgestone attributed the earnings decline to a number of factors, including lower volumes, increased depreciation, accounting reclassification and foreign currency exchange losses.

    Net income was up slightly (0.3 percent) to $2.69 billion.

    For fiscal 2020, Bridgestone is forecasting a rebound in earnings of 5 percent or better, based on a rebound in manufacturing activity (higher volumes), a better price/mix component and reduced raw materials expenses.

    The double-digit earnings decline lowered the operating margin nearly two full points to 9.2 percent.

    Net sales in the tire segment fell 3.2 percent to $27.2 billion, while operating profit dropped 17.3 percent to $3 billion.

    Overall, unit sales fell roughly 4 percent worldwide for both the consumer and commercial sectors, Bridgestone said.

    In North America, replacement and OE consumer tire unit sales were off 2 percent and 10 percent, respectively, while replacement truck/bus tire sales fell 9 percent. OE truck/bus tire sales were unchanged versus 2018.

    On a consolidated basis (tire and non-tire business units combined), Bridgestone's revenue in the Americas fell 3.1 percent last year to $15.7 billion. Operating income for the region was off 13.2 percent to $1.42 billion, reducing the operating margin a point to 9.1 percent.

    Bridgestone is forecasting unit sales growth of roughly 5 percent this year for both consumer and commercial tires on a global basis. That holds for the North American replacement markets for both categories, Bridgestone's figures show. On the OE side, sales should fall 6 percent to 10 percent to consumer vehicle producers and 16 percent to 20 percent to commercial vehicle makers.

    Letter
    to the
    Editor

    Rubber News wants to hear from its readers. If you want to express your opinion on a story or issue, email your letter to Editor Bruce Meyer at [email protected].

    Most Popular
    1
    U.S. tire market continues to attract new players
    2
    Diversity focus, cultural shift needed to combat labor shortage
    3
    Stellantis ranked lowest in supplier relations study
    4
    Technical Notebook: Opportunities and threats for rubber products
    5
    Stakes high as global NR industry urgently seeks alternate supply
    SIGN UP FOR NEWSLETTERS
    EMAIL ADDRESS

    Please enter a valid email address.

    Please enter your email address.

    Please verify captcha.

    Please select at least one newsletter to subscribe.

    Get our newsletters

    Staying current is easy with Rubber News delivered straight to your inbox, free of charge.

    Subscribe Today

    Subscribe to Rubber News to get the best coverage and leading insights in the industry.

    SUBSCRIBE
    Connect with Us
    • LinkedIn
    • Facebook
    • Twitter

    MISSION

    To serve companies in the global rubber product industry by delivering news, industry insights, opinions and technical information.

    Contact Us

    2291 Riverfront Pkwy, Suite 1000
    Cuyahoga Falls,
    OH 44221

    Customer Service:
    877-320-1726

    Resources
    • About Us
    • Digital Edition
    • Staff
    • Advertise
    • Order Reprints
    • Privacy Policy
    • Privacy Request
    • Terms of Service
    • Careers
    • Ad Choices Ad Choices
    • Sitemap
    Partner Sites
    • Tire Business
    • European Rubber Journal
    • Plastics News
    • Plastics News China
    • Urethanes Technology
    • Automotive News
    • Crain Brands
    Copyright © 1996-2022. Crain Communications, Inc. All Rights Reserved.
    • News
      • Automotive
      • Tire
      • Non-Tire
      • Suppliers
      • Silicone
      • Online Exclusive
      • Latex
      • Technical Notebooks
      • Executive Action
      • Government/Legal
      • Opinion
      • Rubber Division IEC
      • ITEC
      • Blogs
        • Products
        • Wacky World of Rubber
      • Sustainability
    • War in Ukraine
    • Custom
      • Sponsored Content
      • White Papers
    • Resources
      • Directory
      • Classifieds & Mold Mart
    • Data
    • Events
      • RN Events
        • 2022 Hose & Belt Manufacturers Conference
        • 2022 International Silicone Conference
        • 2022 International Tire Exhibition & Conference (ITEC)
      • RN Livestreams/Webinars
      • Industry Events
      • Past Events
      • Rubber News M&A Live
    • Advertise
    • DIGITAL EDITION