Yamaha Motor Co., Ltd. has announced its consolidated business results for the first quarter of its 2016 financial year (to March 31st 2016).
Net sales for Yamaha’s consolidated accounting period for the first quarter of the fiscal year ending December 31, 2016 were 382.9 billion yen, (a decrease of 6.8 billion yen or -1.7% compared with the same period of the previous fiscal year), and operating income was 32.3 billion yen (a decrease of 4.3 billion yen or -11.8%).
For developed markets, although the motorcycle business segment has returned to profitability, it has experienced a decrease in sales and income due to unit sales decreasing and the appreciating yen.
In the emerging markets motorcycle business segment, despite an increase in unit sales, there was a decrease in the sales amount due to the effects of emerging markets’ currency depreciation. Regarding operating income, due to the effect of increased sales of products in the higher price range and cost reductions etc. in each region, the effect of currency depreciation was absorbed.
Ordinary income was 28.1 billion yen (a decrease of 8.0 billion yen or -22.1% against the same period of the previous fiscal year), and net income for the quarter attributable to parent company shareholders was 20.7 billion yen (a decrease of 5.1 billion yen or -19.7%).
For the first three months consolidated accounting period, the U.S. dollar traded at 115 yen (an appreciation of 4 yen from the same period of the previous fiscal year), and the euro at 127 yen (an appreciation of 7 yen).
Net sales of motorcycle products overall were 229.8 billion yen (a decrease of 18.1 billion yen or 7.3% compared with the same period of the previous fiscal year), and operating income was 7.6 billion yen (a decrease of -4.0 billion yen or -34.6%).
For unit sales in developed markets, North America and Europe saw a decrease due to the effect of the launch timing of new products and planned reductions in distribution inventories. Unit sales in emerging markets such as India, Vietnam and the Philippines increased, but decreased in markets such as Indonesia and Brazil.
For net sales, there was a decrease in sales in developed markets due to the decrease in unit sales and the appreciating yen. In emerging markets, despite an increase in unit sales, there was a decrease in sales due to the effects of local currency depreciation.
For operating income, although developed markets have returned to profitability, there was a decrease in income due to a decrease in net sales and the appreciating yen. Regarding emerging markets, due to the effect of the product mix and cost reductions etc., the effect of currency depreciation etc. was absorbed.
Net sales in Yamaha’s Marine, Power Products, Industrial Machinery & Robot Products and business segments were up for the first quarter.
Regarding the anticipated consolidated business results for the fiscal year ending December 31, 2016, no updates have been made to the current forecasts that were announced with the previous fiscal year business results on February 9, 2016, namely 1,700.0 billion yen in net sales, 120.0 billion yen in operating income, 125.0 billion yen in ordinary income, and 80.0 billion yen in net income for the fiscal year attributable to parent company shareholders.
