Top Japanese tyre maker Bridgestone tumbled to an operating loss in the six months to June as the global economic slump hurt demand for tyres and a strong yen eroded its offshore earnings, but it raised its full-year outlook.
he company, which vies with France's Michelin to be the world's top tyre maker, booked an operating loss of 20 billion yen ($209.8 million) for January-June, swinging from an 83.7 billion yen profit a year earlier.
Bridgestone's rivals have also suffered losses in recent months hit by slumping demand for cars and replacement tyres, but have beaten analysts' expectations and suggested some recovery in the second half of the year.
Bridgestone raised its full-year earnings forecasts in June, citing improved prospects for demand in Japan and Europe in the second half and a weaker yen than expected.
Today, Bridgestone raised again its 2009 operating profit forecast to 61 billion yen from 56 billion yen.
Shares of Bridgestone rose 14 per cent last quarter, underperforming the Nikkei stock average, which rose 18 per cent.
Reuters