Bridgestone Calls 2012 Profits Up 67%

It turns out that 2012 was a good year for Bridgestone Corp. The Japanese tire and rubber products manufacturer achieved a 66.8% increase in net income during the period, taking in a healthy $1.99 billion.

This jump in profit was achieved despite flat sales of $35.26 billion. Operating income rose 49.5% to $3.31 billion and operating margin increased from 6.3% to 9.4%.

Tire products are the mainstay of Bridgestone’s business and earned the company net sales of $29.66 billion, slightly above 2011 sales. Operating profit from tires was $3.02 billion and the operating margin 10.2%.

The Americas was Bridgestone’s most lucrative region in terms of overall sales (both tire and non-tire), increasing 3.28% to $15.44 billion. The number two region for sales was Japan, where sales dropped 0.8% to $14.14 billion. Sales in Europe dropped 15.6% during the year to $2.89 billion.

Looking ahead to 2013, Bridgestone projects that demand for original equipment passenger car and truck tires will remain the same as 2012 in Europe, while replacement passenger car tire demand will decrease slightly to 99% of the 2012 figure and demand for truck tires will rise to 104% of last year’s demand.

In Japan, passenger car tire demand is expected to be only 93% of that in 2012 for both the OE and replacement segments, while OE truck tire demand should be 101% compared with last year and replacement demand 94%. The company anticipates net sales of $41.2 billion, up 17% year-on-year, operating income of $4.43 billion, an increase of 34% on 2012, and a 10.8% operating margin. (Tyres & Accessories)

The Goodyear Tire & Rubber Company has named Ryan Waldron as president of the company's Americas business unit, reporting to Chief Executive Officer and President Mark Stewart. He succeeds Steven R. McClellan, who retired on April 1.

"At Goodyear, our customers are at the center of everything we do, and in Ryan Waldron, we have a customer-centric, execution-focused business leader with a deep understanding of both the marketplace and all aspects of our business, as well as a proven track record of delivering results," Stewart said. "I am thrilled to announce him as president of Goodyear's Americas business and have enormous confidence that under his leadership, both the company and our customers will reach even greater levels of success."