Business news :Yamaha Summary of Consolidated Results for the First Quarter of the Fiscal Year Ending December 31, 2013

JAPAN, May 14, 2013 – 

Consolidated business results for the first quarter

Net sales for Yamaha Motor Co., Ltd.’s consolidated accounting period for the first quarter of the fiscal year ending December 31, 2013 were 327.6 billion yen, an increase of 3.7% compared with the same quarter the previous fiscal year. Product sales of motorcycles, outboard motors, and all-terrain vehicles decreased against the same quarter the previous fiscal year, but profit increased due to foreign exchange gains from the depreciation of the yen etc.

Regarding operating income, the fall in profit from the decreased sales was absorbed by the effect of the depreciation of the yen, cost reductions etc., and operating income was 13.9 billion yen (an increase of 11.6% compared with the same quarter the previous fiscal year). Ordinary income was 13.4 billion yen (a decrease of 21.3% against the same quarter the previous fiscal year) due to the impact of foreign exchange contract evaluation, and net income for the quarter was 7.4 billion yen (a decrease of 35.6%).

For the first quarter consolidated accounting period, the U.S. dollar traded at 92 yen (a depreciation of 13 yen from the same quarter the previous fiscal year), and the euro at 122 yen (a depreciation of 18 yen).

Results by business segment

Motorcycle business:
Global net sales of motorcycle products were 219.5 billion yen (an increase of 4.5% compared with the same quarter the previous fiscal year), and operating income was 3.0 billion yen (a decrease of 45.5%). Regarding sales in developed countries, in the U.S.A. the sales level for the same quarter the previous fiscal year was high due to the mild winter etc.; however, the weather this quarter was inclement, which along with the decrease in total demand in Europe etc. led to decreased sales. In emerging markets, sales increases were seen in India and Vietnam, whereas the effect of credit deposit restrictions etc. saw a decrease in Indonesia, and sales in emerging markets decreased overall. Despite the effect of the depreciation of the yen, operating income decreased due to the decreased sales and the like.

Marine business:
Global net sales of marine products were 59.1 billion yen (an increase of 8.4% compared with the same quarter the previous fiscal year), and operating income was 10.3 billion yen (an increase of 143.8%). The firming U.S. market and the effect of the depreciation of the yen etc. led to increased income and increased profitability.

Power products business:
Global net sales for the power products business were 24.2 billion yen (an increase of 9.6% compared with the same quarter the previous fiscal year), with an operating loss of 700 million yen (the same period the previous fiscal year showed an operating loss of 100 million yen). Income increased due to the effect of the depreciation of the yen etc., but the effect of the reversal of accrual for product liability (500 million yen for the same quarter the previous fiscal year, 0 yen for this quarter) etc. contributed to producing an operating loss.

Industrial machinery & robot products business:
Net sales of industrial machinery & robot products overall were 6.1 billion yen (a decrease of 20.4% compared with the same quarter the previous fiscal year), and operating income was 200 million yen (a decrease of 69.7%). Sales of surface mounters decreased due to the global decline in equipment investment demand.

Other products:
Global net sales of other products were 18.7 billion yen (a decrease of 13.9% compared with the same quarter the previous fiscal year), and operating income was 1.0 billion yen (a decrease of 50.8%). Sales of automotive engines decreased, but sales of electrically power assisted bicycles increased with the popularity of new products featuring triple sensors.

Forecast of consolidated business results

Regarding the anticipated consolidated business results for the fiscal year ending December 31, 2013, while the yen is currently on a depreciating trend, the exchange rate and market movements for the second quarter and onwards are unclear. For this reason, no changes have been made to the forecasts that were presented in the previous fiscal year report on February 14, namely 1.4 trillion yen in net sales, 50.0 billion yen in operating income, 52.0 billion yen in ordinary income and 28.0 billion yen in net income for the fiscal year.

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Source Yamaha Motor Corp through Motor Sports Newswire