Bridgestone : Consolidated Financial Statements for Q3 2022 (372 KB)

Consolidated Financial Statements

for the First Three Quarters of the Fiscal Year Ending December 31, 2022

November 10, 2022

These financial statements, prepared in accordance with International Financial Reporting Standards (IFRS), have been translated for reference only from the original Japanese-language document "KESSAN TANSHIN." The entire format is pursuant to the requirements or guidance of Tokyo Stock Exchange. As for the contents, if there are any differences or discrepancies between the original Japanese-language and the English translation, the original Japanese-language supersedes this English translation.

Company name:	Bridgestone Corporation	Stock exchange listings: Tokyo, Fukuoka
Code number:	5108	URL: https://www.bridgestone.com/
Representative:	Shuichi Ishibashi, Member of the Board
	Global CEO and Representative Executive Officer
Contact:	Kentaro Saji, General Manager, IR Department
Telephone:	[phone]

Scheduled date of quarterly securities report submission: November 10, 2022

Scheduled date of dividend payment commencement: -

Supplementary information for the quarterly financial statements to be prepared: Yes

Meeting to explain the quarterly financial statements to be held: Yes

(All amounts are rounded off the nearest million yen)

1. Consolidated Results for the First Three Quarters of Fiscal 2022 (January 1, 2022 - September 30, 2022)

(1) Consolidated Operating Results					(Percentage figures represent year-on-year changes)
							Figures for continuing operations (Note 2)
			Revenue			Adjusted operating	Operating profit	Profit attributable to
					profit (Note 1)	owners of parent
Nine months ended		Yen in millions		%		Yen in millions		%	Yen in millions		%	Yen in millions	%
	2,976,923		28.4	342,197		18.6	307,229		11.0	217,198	6.2
September 30, 2022
Nine months ended		2,317,698		-	288,585		-	276,698		-	204,562	-
September 30, 2021
							Figures including discontinued operations
			Profit attributable to		Comprehensive	Basic earnings	Diluted earnings
			owners of parent		income		per share		per share
Nine months ended		Yen in millions		%		Yen in millions		%			Yen		Yen
	188,748		(55.4)	619,910		11.7	270.48		270.10
September 30, 2022
Nine months ended		422,848		-	554,742		-	600.49		599.57
September 30, 2021
(Notes) 1.	The Group	utilizes "adjusted	operating profit" in place of the previously employed J-GAAP-based operating
	profit.
	For details on reconciliations, please refer to page 12, "Reconciliation from adjusted operating profit to profit
	before tax" under "2. Condensed Quarterly Consolidated Financial Statements and Primary Notes (6) Notes
2.	to the Condensed Quarterly Consolidated Financial Statements."
The Group classified the US building materials business, anti-vibration rubber business, and chemical products
	solutions business as discontinued operations in the fiscal year ended December 31, 2021. For the nine
	months ended September 30, 2022, revenue, adjusted operating profit, operating profit and profit attributable
	to owners of parent are presented in amounts from continuing operations that exclude discontinued operations.
	The year-on-year percentage changes for these amounts are also not presented for the nine months ended
	September 30, 2021 as they are presented with the same reclassification.
	For details on discontinued operations, please refer to page 16, "Discontinued operations" under "2.
	Condensed Quarterly Consolidated Financial Statements and Primary Notes, (6) Notes to the Condensed
	Quarterly Consolidated Financial Statements."
(2) Consolidated Financial Position
										Total equity		Ratio of equity
											attributable to
			Total assets		Total equity	attributable to
					owners of parent to
										owners of parent
										total assets
			Yen in millions		Yen in millions	Yen in millions		%
As of September 30, 2022	5,131,394		3,091,993	3,043,457		59.3
As of December 31, 2021	4,574,892		2,675,354	2,629,883		57.5

2. Dividends

			Dividend per share
	1st quarter end	2nd quarter end	3rd quarter end	Year-end	Total
	Yen	Yen	Yen	Yen	Yen
Fiscal 2021	-	85.00	-	85.00	170.00
Fiscal 2022	-	85.00	-
Fiscal 2022				85.00	170.00
(Projection)
(Note) Changes from the latest forecasts released: No

3. Consolidated Financial Results Forecasts for Fiscal 2022 (January 1, 2022 - December 31, 2022)

(Percentage figures represent year-on-year changes)

Figures for continuing operations

Figures including discontinued operations

Revenue

Adjusted operating

Profit attributable to

Basic earnings

profit

owners of parent

per share

Yen in millions

%

Yen in millions

%

Yen in millions

%

Yen

Fiscal 2022

4,050,000

24.8

470,000

19.2

260,000

(34.0)

373.64

(Note) Changes from the latest forecasts released: Yes

Amounts for profit attributable to owners of parent, and basic earnings per share for continuing operations only are

as follows:

¥295,000 million



Profit attributable to owners of parent:



Basic earnings per share:

¥423.93

• Notes
• 1. Changes in principal subsidiaries during the nine months ended September 30, 2022: No (Changes in specified subsidiaries involving change in consolidation scope)
  2. Changes in accounting policies and changes in accounting estimates

1)	Changes in accounting policies required by IFRS	: No
2)	Changes in accounting policies other than 1)	: No
3)	Changes in accounting estimates	: No

1. Number of issued shares (common stock)
2. 1. Total number of issued shares at period end (including treasury stock):

September 30, 2022	713,698,221 shares
December 31, 2021	713,698,221 shares
2) Number of shares of treasury stock at period end:
September 30, 2022	24,389,365 shares
December 31, 2021	9,434,214 shares

3) Average number of shares outstanding during the period (during the first three quarters):

First Three Quarters ended September 30, 2022	697,827,806 shares
First Three Quarters ended September 30, 2021	704,171,800 shares

• Quarterly financial results reports are exempt from quarterly review conducted by certified public accountants or an audit corporation.
• Statement regarding appropriate use of forward-looking statements and other notes

Forecasts based on our projections and plans for the future in this document contain unpredictable elements that may cause fluctuations. As such, they do not constitute guarantees by the Company of the achievement of those forecasts. Accordingly, actual business results may differ substantially from the Company's current assessment.

Bridgestone Corporation (5108) First three quarters results of fiscal 2022

[ Index ]
1. Qualitative Information on Consolidated Financial Quarterly Results....................................................	2
(1) Explanation regarding information on consolidated financial results forecasts and other forward-
	looking statements......................................................................................................................................	2
2. Condensed Quarterly Consolidated Financial Statements and Primary Notes......................................	4
(1)	Condensed Quarterly Consolidated Statement of Financial Position ..................................................	4
(2)	Condensed Quarterly Consolidated Statement of Profit or Loss ..........................................................	6
(3)	Condensed Quarterly Consolidated Statement of Comprehensive Income.........................................	7
(4)	Condensed Quarterly Consolidated Statement of Changes in Equity..................................................	8
(5)	Condensed Quarterly Consolidated Statement of Cash Flows ...........................................................	10
(6)	Notes to the Condensed Quarterly Consolidated Financial Statements ............................................	12
	(Notes regarding going concern assumption)......................................................................................	12
	(Reconciliation from adjusted operating profit to profit before tax) ..................................................	12
	(Impairment of non-financialassets) .....................................................................................................	13
	(Selling, general and administrative expenses) ...................................................................................	14
	(Other income and other expenses) ......................................................................................................	14
	(Finance income and finance costs)......................................................................................................	15
	(Discontinued operations) ......................................................................................................................	16
	(Subsequent events) ...............................................................................................................................	18

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Bridgestone Corporation (5108) First three quarters results of fiscal 2022

1. Qualitative Information on Consolidated Financial Quarterly Results

1. Explanation regarding information on consolidated financial results forecasts and other forward-looking statements

[Revision of consolidated financial results forecasts for the fiscal year ending December 31, 2022] 1) Consolidated financial results forecasts (from January 1, 2022 to December 31, 2022)

	Revenue	Adjusted operating	Profit attributable to	Basic earnings
	profit	owners of parent	per share
	Yen in millions	Yen in millions	Yen in millions	Yen
Previous forecasts	3,950,000	450,000	250,000	357.93
(A)
Revised forecasts	4,050,000	470,000	260,000	373.64
(B)
Differences (B-A)	+100,000	+20,000	+10,000	+15.71
Change (%)	+2.5	+4.4	+4.0	+4.4
(Reference)	3,246,057	394,340	394,037	559.56
FY2021 results

1. Reason for revisions
   In terms of the Group's operating environment in the nine months ended September 30, 2022, in addition to the various management risks that occurred during the first half, including the suspension of domestic production in Russia and tire exports to Russia, the significant drop in sales in China due to lockdowns in that country, and the temporary stoppage of operations at affiliated production sites due to an external cyberattack at a subsidiary in the US, economic slowdown mainly in the US and Europe became apparent coming into the second half, and the situation remains volatile and uncertain.
   In this business environment, the Group worked to further strengthen the "premium business strategy" and "price management" in each region to respond quickly to the sharp rise in raw material prices and rising costs from inflation. In addition, as a result of expanding the sales share of the premium domain through flexible supply management and Dan-Totsu product competitiveness based on our global production system, which is a strength of the Group, sales of all products, which include passenger car/light truck tires, truck and bus tires, and mining and construction tires, exceeded those of the previous year. Moreover, in terms of costs, the Group strived to steadily promote "expense and cost structure reformation," such as improvement of manufacturing sites among others, and worked to ensure profitability.
   As a result, the Group's business performance over the nine-month period, which included the effects of the weak yen, was marked by significant increases in both revenue and adjusted operating profit year on year.
   For the fourth quarter, the Group envisages a harsh business environment on account of a downturn in global tire demand due to the economic slowdown and further acceleration of inflation. However, through continued strengthening of "premium business strategy," and "price management," we expect to secure firm profitability.
   After reexamining the full-year business forecast while taking these circumstances into account, the Group has decided to revise the full-year consolidated financial results forecasts announced in August 2022 as shown above.
   The Group assumes that the exchange rates for the fourth quarter onward will be 135 yen/dollar and 135 yen/euro.
2. • The Group classified the US building materials business, anti-vibration rubber business, and chemical products solutions business as discontinued operations in the fiscal year ended December 31, 2021. Accordingly, revenue and adjusted operating profit for fiscal 2021 and fiscal 2022 have been restated to show figures for continuing operations excluding discontinued operations.
   • • 2 －

Bridgestone Corporation (5108) First three quarters results of fiscal 2022

1. Notes concerning financial results forecasts
   Financial results forecasts are based on currently available information and contain risks and uncertainties. Please bear in mind, therefore, that the actual financial results may differ substantially from the current forecast due to the economic environment, market trends, and foreign exchange rates in the Group's business domains going forward.

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