Bridgestone (5108) Q1 2026 earnings summary

Executive summary

• Achieved record-high Q1 revenue of ¥1,113,427 million and adjusted operating profit of ¥122,190 million, aided by yen depreciation, strong new product launches, and premium tire sales.

• Profit attributable to owners increased 21.4% to ¥92,112 million; comprehensive income improved to ¥142,419 million from a loss of ¥66,843 million in Q1 FY2025, driven by positive foreign exchange impacts.

• Market share increased in North America despite demand slowdown; Europe saw improved profitability.

• A 2-for-1 stock split was executed on January 1, 2026, affecting EPS and dividend calculations.

• Capital policy on share buybacks and fund-raising is progressing as planned.

Financial highlights

• Q1 revenue rose 5.2% year-over-year to ¥1,113,427 million; adjusted operating profit up 9.7% to ¥122,190 million.

• Gross profit increased to ¥432,778 million from ¥408,038 million year-over-year.

• Basic EPS for Q1 FY2026 was ¥72.37, up from ¥55.58 in Q1 FY2025.

• Free cash flow increased to ¥108.7 billion; net cash provided by operating activities rose to ¥190,795 million.

• Total assets at March 31, 2026 were ¥5,645,839 million, with total equity at ¥3,736,191 million.

Outlook and guidance

• No change to fiscal 2026 guidance from February; FY2026 revenue forecast is ¥4,500,000 million, adjusted operating profit projected at ¥515,000 million, and profit attributable to owners at ¥340,000 million.

• Basic EPS for FY2026 is forecast at ¥270.87; dividend per share projected at ¥125.00 post-split.

• Cautious monitoring of Middle East situation and raw material costs; higher raw material costs expected from Q2 onward, with measures planned to minimize impact.

• U.S. tariffs expected to have a ¥55 billion annual gross impact, unchanged from prior assumptions.