TOKYO—Bridgestone Corp. has become closer to building a "strong Bridgestone capable of responding to changes in the business environment," according to a recent report by the Japanese group.
In a detailed integrated report on the progress of its "third foundation" transformation journey, which was launched two years ago to improve the group's profitability, Bridgestone said it achieved its 2022 targets a year ahead of plan.
In 2021, the group said its revenue reached about $23.5 million (¥3.246 billion) with a gross profit margin of 40.6 percent, achieving the 2022 goal ahead of schedule.
On the profit front, both adjusted operating profit ratio and ROE (return on equity) achieved the 2022 goal ahead of schedule. ROIC, which indicates earning power, was 9.0 percent, which Bridgestone said was "well above" the plan for 2021. The figure is projected to exceed the 2021 level this year.
On the revenue front, Bridgestone said its 2021 tire sales increased significantly centered around the premium segment, resulting in "a substantial increase" in revenue over 2020.
Bridgestone said that it addressed "past negative legacies" as part of its transformation program, in a bid to rebuild earning power.
"We have restructured our manufacturing footprint and business portfolio over the mid-long term across all of our business, including tires, diversified products and material manufacturing," said the group.