Summary of Business Results for the First Nine Months of the Fiscal Year Ending December 31, 2013
November 7, 2013
Consolidated business results
IWATA, November 7, 2013 – Yamaha Motor Co., Ltd. (Tokyo: 7272) announced net sales of 1047.9 billion yen for the consolidated accounting period for the first nine months of the fiscal year ending December 31, 2013, an increase of 15.2% compared with the same quarter the previous fiscal year. Following the trend set in the second quarter, product sales across the entire business increased against the same quarter the previous fiscal year, and the accumulated total for the first nine months was in line with that of the third quarter of the previous year. An increase in net sales was driven by growth in the motorcycle, marine, and power products businesses.
Regarding operating income, healthy sales of marine products in the US, and the effects of yen depreciation brought in higher income. Increased sales in Indonesia and cost reductions also contributed to higher income from emerging markets, giving an overall total of 42.2 billion yen (84.9% increase on the previous year). Both ordinary and net income increased, with ordinary income at 42.8 billion yen (an increase of 52.8% against the same period the previous fiscal year), and net income for the period at 26.3 billion yen (an increase of 84.2%).
For the first nine-month consolidated accounting period, the U.S. dollar traded at 97 yen (a depreciation of 18 yen from the same quarter the previous fiscal year), and the euro at 127 yen (a depreciation of 25 yen).
Results by business segment
Motorcycles
Overall net sales of motorcycle products were 695.6 billion yen (an increase of 16.4% compared with the same period in the previous fiscal year), and operating income was 6.1 billion yen (an increase of 122.6%). Unit sales in developed markets increased overall, with decreased demand in Europe compensated for by increases in North America and Japan driven by new product launches. Emerging markets experienced both increases and decreases in unit sales: steady scooter sales in India and recovery trends in Indonesia led to increases, but slower economic growth in Thailand and Vietnam resulted in decreases. As a result, while global motorcycle product sales remained on par with the previous year, net sales increased due to the effect of yen depreciation.
With regard to operating income, aggressive development & sales promotional costs in developed markets, as well as costs associated with structural reforms in Europe hindered income growth, but these effects were outweighed by positive results in emerging markets, including increased sales and cost-reduction measures in Indonesia, driving an overall increase in income.
Marine
Overall net sales of marine products were 185.2 billion yen (an increase of 20.3% compared with the same quarter the previous fiscal year), and operating income was 24.5 billion yen (an increase of 129.2%). Sales of outboard motors in the U.S.A. increased due to the effect of introduction of new models, and an expansion of the large-capacity model lineup, along with the effect of the depreciation of the yen, led to increases in sales and income.
Power products
Overall net sales of power products were 84.1 billion yen (an increase of 15.6% compared with the same period the previous fiscal year), and operating income was 4.2 billion yen (an increase of 57.4%). Increases in sales and income were achieved due to increases in sales of golf cars and snowmobiles, the results produced by introduction of Recreational Off-highway Vehicles (ROV), and the effects of yen depreciation.
Industrial machinery & robot products
Net sales of industrial machinery & robot products overall were 23.7 billion yen (a decrease of 4.3% compared with the same quarter the previous fiscal year), and operating income was 2.6 billion yen (a decrease of 31.7%). Sales of surface mounters decreased due to the global decline in equipment investment demand, but in the third quarter increased against the same period the previous year (July to September).
Other products
Net sales of other products were 59.2 billion yen (a decrease of 1.6% compared with the same period the previous fiscal year), and operating income was 4.7 billion yen (an increase of 63.3%). Unit sales of electrically power assisted bicycles increased due to the effects produced by introduction of new products, and unit sales of automotive engines decreased.
Consolidated business forecasts for the full year
With regard to the consolidated business forecasts for the fiscal year ending December 2013, no revisions have been made to the forecasts of the August 6 financial results announcement for the second quarter.
These forecast figures are based on the assumption that the U.S. dollar will trade at 95 yen during the period (a depreciation of 15 yen from fiscal 2012), and the euro at 125 yen (a depreciation of 22 yen from fiscal 2012).
