Financial Results for 1st Quarter of Fiscal 2018
Bridgestone CorporationMay 10, 2018

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１. Business and Financial Performancefor 1st Quarter of Fiscal 2018

P.3

２. Consolidated Projectionsfor 1st Half of Fiscal 2018

P.9

1.

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Business and Financial Performancefor 1st Quarter of Fiscal 2018

Business Environment Surrounding Bridgestone Group
Currency
Exchange●USD: Stronger JPY, EUR: Weaker JPY vs PY
1USD=108yen, 1EUR=133yen（Ref.）17Q1：1USD＝114yen 1EUR＝121yen

Raw MaterialPrices●Natural Rubber : Lower vs PY
Crude Oil: Higher vs PY

Tire Demand(PSR/TBR)●Despite weaker demand in N. America and Europe
due to early buying in Q1 2017, global tire demand
continues to grow steadilyMarket trend of natural rubber and crude oil(Average)
2017

Tire Demand (Year-on-Year/unit base%)

2018

Q1

Q2

Q3

Q4

Q1

Natural Rubber〈TSR20〉*（￠/kg）

208

152

153

143

146

Natural Rubber〈RSS#3〉*（￠/kg）

253

204

180

159
55

Crude Oil
51
48
48
〈WTI〉（$/bbl）*Source: Singapore Commodity Exchange Limited

4 /13*1 Note: The numbers of demand are estimated by Bridgestone Corporation

PSR

TBR

OE

REPOE

REPJapan

100％

101％

92％

97％

171

N.America97％

100％

121％

105％

62Europe

103％

94％

105％

(USTMA95%)*2(USTMA93%)

90％*2 Source: U.S. Tire Manufactures AssociationTire Sales Growth for 1st Quarter of Fiscal 2018(Year-on-Year, unit base)

PSR
OE & REP
GlobalOE & REP
97％

OE

ORR ※
100％

OE
Japan

101%

Japan

93%

N. America

111%

N. America

146%

Europe96%Europe118%

China/
Asia Pacific107％

China/
Asia Pacific

137％

REP

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GlobalTBR

Ultra-Large

105％

Large

115％

-Steady positive trend-In line with H1 guidance

PSR

REP

HRD (≧ 18”)

Japan

101%

Japan

99%

N. America

91%

N. America86%

Europe95%

Europe87%

China/
Asia Pacific89％

China/
Asia Pacific92％

Global115%※ Note: Based on rubber weight for
Ultra-Large and Large ORR

Consolidated Results for 1st Quarter of Fiscal 2018
Note: Figures within parentheses mean minus(Yen in billions)

2017
Q1 Results

2018
Q1 Results

vs PY（%）

851.8

859.8

+1Tires

707.9

715.0

+1

Diversified Products

147.4

149.7

+2

103.0

99.8

(3)

Net Sales

Operating Income(Ratio) 12.1%(Ratio) 11.6%(Ratio) (0.5pt)

Tires

95.6

96.3

+1

Diversified Products

7.6

3.7(52)

Ordinary Income

96.8

92.7(4)

Profit Attributable toOwners of Parent

59.2

63.4+7US Dollar / Yen rate:

114 yen108 yen(6) YenEuro / Yen rate:

121 yen

133 yen+12 yen

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Analysis of Consolidated Operating Income
for 1st Quarter of Fiscal 2018
(Yen in billions)

Raw Materials

(4.0)

100

Price, Mix,
Volume etc.

SGA(9.0)

Depreciation

(2.0)

103.0

Note: Figures within parentheses mean minus

7 /13+9.9+2.0

99.850

2017Q1
Operating Income

ForeignExch. Gain

(3.1)

2018Q1
Operating Income

Financial Results for 1st Quarter of Fiscal 2018: (Yen in billions)Geographic Segments
Note: Figures within parentheses mean minus

2017
Q1 Results

2018
Q1 Resultsvs PY（%）

Consolidated
Net Sales

851.8

859.8+1Japan

256.2

268.5+5The Americas

416.5

408.9

(2)

EMEA

134.5

142.8+6

China, Asia-Pacific158.0

160.0+1103.0

99.8(3)

Japan

33.0

38.0+15The Americas

46.0

42.5

(8)

EMEA

4.9(0.6)-China, Asia-Pacific

20.3

17.3

(14)

Consolidated
Operating Income

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2. Consolidated Projectionsfor 1st Half of Fiscal 20189 /13

Forecast of Business Environment Surrounding
Bridgestone Group
Currency
Exchange●USD: Stronger JPY, EUR: Weaker JPY vs PY

Raw MaterialPrices●Natural Rubber : Lower vs PY
Crude Oil: Higher vs PY

Tire Demand(PSR/TBR)●Continues steady growth globally
Tire Demand (Year-on-Year/unit base%)

Currency Exchange Assumption（Yen）

US Dollar

Euro

10 /132018

2017
1st Half

2nd Half

Full Year

1st Half

112

112

112

107

122

132

127

130

Note: The numbers of demand are estimated by Bridgestone Corporation

PSR

TBR

OEREPOE

REPJapan

100％

97％

96％

85％

N.America

99％

103％

111％

107％

Europe102％99％

105%

100％

TireHub●Greater access to more depth and breadth ofpassenger and light truck products●Fully integrated distribution, warehousing,sales and delivery solution
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Summary

Tire sales
Volume2018 Q1 Results

2018 H1 Projections●PSR weaker due to early buying inQ1 2017 in N. America and Europe●Stable in TBR●Robust growth in Ultra-large/Large ORR●Volume in line with the guidance(PSR/TBR, Ultra-large/Large ORR)

Selling Price ●Tailwind on impact of Net selling price / raw materials
and●In line with the guidance on impact of selling price and raw materials
Raw Material
SGA
Consolidated
FinancialResults(Operating income)12 /13●Increase of expenses in M&A and R&D for mid-long term investment●To be controlled in accordance with market and sales trends●Slight decline in OP-Positive impact of Net selling price /raw materials-Increase of SGA, UPI* negative*Unrealized Profit in Inventory●2018 H1 guidance confirmed-Net sales: increase vs PY-OP: decrease vs PY

Statements made in this presentation with respect to Bridgestone's current plans, estimates, strategies and beliefs and other statements that are nothistorical facts are forward-looking statements about the future performance of Bridgestone. Forward-looking statements include, but are not limited to,those statements using words such as "believe," "expect," "plans," "strategy," "prospects," "forecast," "estimate," "project," "anticipate," "may" or "might"
and words of similar meaning in connection with a discussion of future operations, financial performance, events or conditions. From time to time, oral or
written forward-looking statements may also be included in other materials released to the public. These statements are based on management'sassumptions and beliefs in light of the information currently available to it. Bridgestone cautions you that a number of important risks and uncertainties
could cause actual results to differ materially from those discussed in the forward-looking statements, and therefore you should not place undue reliance onthem. You also should not rely on any obligation of Bridgestone to update or revise any forward-looking statements, whether as a result of new information,
future events or otherwise. Bridgestone disclaims any such obligation.

Copyright © Bridgestone Corporation

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