Bridgestone Corporation · TSE:5108
Bridgestone — FY2014 Earnings Presentation
20 slides from Bridgestone's earnings presentation, Feb 17, 2015
Slide 1: Financial Results for Fiscal 2014
Financial Results for Fiscal 2014 Bridgestone Corporation February 17, 2015
Slide 2: Contents
Contents 1. Business and Financial Performance for Fiscal 2014 P.3 2. Consolidated Projections for Fiscal 2015 P.9 3. Management basic approach P.18 Copyright © 2015 Bridgestone Corporation | Feb.17, 2015 2
Slide 3: 1. Business and Financial Performance for Fiscal 2014
1. Business and Financial Performance for Fiscal 2014
Slide 4: Business Environment Surrounding Bridgestone Group in 2014
Business Environment Surrounding Bridgestone Group in 2014 Estimated Tire Demand Currency Exchange Tire Demand for 2014 : Original Equipment (VS 2013) Passenger Truck and Bus 2014 (Ref.) Radial Tires Radial Tires 2nd Fiscal 1st Fiscal 2013 Japan 101％ 113％ half half N. America 106％ 118％ US Dollar 102
Slide 5: Consolidated Results for Fiscal 2014
Consolidated Results for Fiscal 2014 Yen/US dollar rate: 98 106 +8 101 (Yen in billions) Yen/Euro rate: 130 140 +10 138 （Reference 2013 2014 Aug 8, 2014 announcement） Results Results VS PY (%) 2014 Projections Net Sales 3,568.0 3,673.9 +3 3,650.0 Tires 3,036.9 3,093.3 +2 3,080.0 Diversified 546.2 60
Slide 6: Analysis of Consolidated Operating Income for Fiscal 2014
Analysis of Consolidated Operating Income for Fiscal 2014 (Yen in billions) 500 Raw Materials +77.0 450 Foreign Exch. Gain 400 +45.0 478.0 SGA 438.1 - Price, Mix, 350 Volume etc. Strategic Depreciation (73.1) Products (4.0) （5.0） 300 2013 2014 Operating Income +39.9 Operating Income *Figures within
Slide 7: Financial Results for Fiscal 2014: Geographic Segments
Financial Results for Fiscal 2014 : Geographic Segments (Yen in billions) （Reference 2013 2014 Aug 8, 2014 VS PY (%) announcement） Results Results 2014 Projections Japan 1,270.3 1,264.9 (0) 1,250.0 The Americas 1,651.9 1,768.1 +7 1,720.0 Europe 423.3 439.2 +4 440.0 Other Regions 862.7 841.5 (2) 860.
Slide 8: B/S and C/F Highlights for Fiscal 2014
B/S and C/F Highlights for Fisical 2014 (Yen in billions) FY 2013 FY 2014 (As of Dec. 31, 2013) (As of Dec. 31, 2014) VS. Dec. 31, 2013 Total Assets 3,577.0 3,960.9 +383.8 Total Equity 1,862.9 2,146.6 +283.6 Ratio of total equity to total assets (%) 50.5 52.4 +1.9 Interest-Bearing Debt (Net) 239.6 2
Slide 9: 2. Consolidated Projections for Fiscal 2015
2. Consolidated Projections for Fiscal 2015
Slide 10: Business Environment Surrounding Bridgestone Group in 2015
Business Environment Surrounding Bridgestone Group in 2015 Estimated Tire Demand Currency Exchange Tire Demand for 2015 : Original Equipment (VS 2014) Passenger Truck and Bus 2013 2014 2015 Radial Tires Radial Tires Japan 93％ 92％ US Dollar 98 106 115 N. America 102％ 102％ Europe 102％ 102％ Euro 130 14
Slide 11: Consolidated Projections for Fiscal 2015
Consolidated Projections for Fiscal 2015 Yen/US dollar rate: 106 115 +9 (Yen in billions) Yen/EURO rate: 140 136 (4) 2014 2015 Results Projections VS PY(%） Net Sales 3,673.9 3,980.0 +8 Tires 3,093.3 3,340.0 +8 Diversified 601.8 660.0 +10 Products Operating Income 478.0 519.0 +9 （Ratio）13.0% （Ratio）
Slide 12: Analysis of Consolidated Operating Income for Fiscal 2015
Analysis of Consolidated Operating Income for Fiscal 2015 (Yen in billions) 500 Exchange rate Sensitivity (full year) USD：4.3bil. Yen EUR：0.5bil. Yen 450 Raw Materials SGA +66.0 519.0 (39.0) 478.0 Foreign Exch. Gain 400 Price, Mix, +37.0 Volume etc. Depreciation Strategic (36.1) (14.0) Products +27.
Slide 13: Financial Projections for Fiscal 2015: Geographic Segments
Financial Projections for Fiscal 2015 : Geographic Segments (Yen in billions) Japan 2015 VS. PY [Japan Tire + Specialty Tire + Diversified Products] Projections (%) 2,000 20% Net Sales 1,250.0 (1) Sales ( billion yen ) 1,500 15% Operating Income 220.0 +5 OP% 1,000 10% ＜2015 REP Tire Sales (unit base
Slide 14: Financial Projections for Fiscal 2015: Geographic Segments
Financial Projections for Fiscal 2015 : Geographic Segments Europe (Yen in billions) [Western Europe + Eastern Europe] 2015 VS. PY 2,000 20% Projections (%) Sales ( billion yen ) 1,500 15% Net Sales 430.0 (2) Operating Income 20.0 (2) OP% 1,000 10% 500 5% ＜2015 REP Tire Sales (unit base, vs.PY%)＞ 0
Slide 15: Trend of Net Sales, Operating Income, ROA, ROE
Trend of Net Sales, Operating Income, ROA, ROE Copyright © 2015 Bridgestone Corporation | Feb.17, 2015 15
Slide 16: Basic policy for dividends
Basic policy for dividends Basic policy for distributing profits - Retained earnings for future growth investments - Maintaining appropriate financial position - Shareholder returns ・ Consistent enhancement in profitability ・ Improved financial position Basic policy for dividends Through comprehensi
Slide 17: Trend of Dividend・Pay Out Ratio
Trend of Dividend・Pay Out Ratio 45% 140 (yen per share) 40% 1203％ 120 yen 120 35% 100 yen 29.5% 100 Pay Out 30% Ratio 26.1% 25% 80 22.1% 20% 60 16.7% 57 yen 15.8% 14.6% Dividend 15% per Share 40 32 yen 10% 20 yen 22 yen 20 16 yen 5% 0 0% Y09 Y10 Y11 Y12 Y13 Y14 2015 FY Projections Copyright © 2015 B
Slide 18: 3. Management basic approach
3. Management basic approach
Slide 19: Management basic approach
Management basic approach Framework & Priority Issues: Consistent To become a truly global company Ultimate goal To achieve “Dan-Totsu” Mission and Foundation - The Bridgestone Essence - Lean & Strategic （L&S） Basic Stance - Group Global Optimization （GG Optimization ） - SBU Organization Reform Tool
Slide 20: 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