Bridgestone Raises 2012 Ambitions

Bridgestone has lifted its revenue and profit targets for 2012, stating simultaneously that it hopes to continue the upward trend the year after too. The Japanese giant revises its five-year plans at least once per annum. Last year it forecast 400 billion yen (2.3 billion pounds sterling) operating profits, alongside revenue of 4 trillion yen (23 billion pounds sterling), but now the stakes have been raised to 410 billion and 4.3 trillion yen (2.4 billion and 23.7 billion pounds sterling) respectively. (Assuming 1 pound sterling = 173 yen.)

Bridgestone’s new predictions came on the same day that the world’s largest tyre-maker’s stock made significant gains on the TSE. The company rose by up to 9.5 per cent (163 yen), closing on 20 October at 1,874 yen. According to Bloomberg, the three-year low of rubber on 17 October contributed to the rise, offsetting the potential fall due to auto sales difficulties. Yokohama and Sumitomo saw similar rises, while Toyo Tire and Rubber Co rose 12 per cent to 253 yen. Bridgestone completed its acquisition of an 8.72 per cent stake in Toyo on 16 October. More details are to follow through official channels on 27 October.