26/12 Q2 results: Price, volume, and mix factors in harmony with each other

Research evidence excerpt

Global Markets Research

Bridgestone

7 August 2026

5108.T 5108 JP / EQUITY: JAPAN AUTOS & AUTO PARTS

26/12 Q2 results: Price, volume, and mix factors in

harmony with each other

Quick Note

First impression slightly positive: Clear shift to growth with combination of price,

volume, and mix factors in Q2

Bridgestone released 26/12 Q2 results at 14:30 JST on 7 August and held a briefing at

15:00. Q2 adjusted operating profits of ¥158.7bn beat our forecast of ¥119.7bn even

discounting for a one-time boost of around ¥10.0bn from inventory effects. We think the

rise in the share price prior to the results announcement reflected expectations for a

recovery in sales of passenger vehicle and truck & bus tires in the Americas. Meanwhile,

we like the way that profits received boosts of ¥11.0bn y-y from volumes, ¥5.0bn from

selling prices, and ¥3.0bn from the product mix, in line with initial guidance. Our first

impression of results is accordingly slightly positive.

Passenger vehicle tire sales volumes fell 2% y-y on the mainstay Americas market in Q2,

beating the market average of a 6% decline. Sales fell 4% for the Firestone brand and

rose for the Bridgestone brand. Aside from new product launches in H1, Bridgestone's

decision not to hike prices even though Continental did so in June looks to have boosted

its market share. Truck & bus tire sales also recovered as the company increased its

market share by tapping demand for new tires as well as retread demand.

Rating

Neutral

Target price

JPY 3,400

Closing price

JPY 4,199

7 August 2026

(Note: Quick Note reports are not a

vehicle for changes to ratings, target

prices, or earnings forecasts)

Research Analysts

Japan autos & auto parts

Wataru Ishimoto - NSC

The company retained its full-year adjusted operating profit guidance of ¥515.0bn. It still

expects the situation in the Middle East to affect profits by ¥70.0bn over the full year, as

disclosed when it released results in May. We think it is assuming a WTI price of $90/bbl,

slightly higher than current rates, which should provide a cushion. However, we note that

margins on mining machinery tires are likely to deteriorate because of the disappearance

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