FY2004 FINANCIAL RESULTS

Transcription

1 FY2004 FINANCIAL RESULTS Forward Ultra -Low PM, 4-Star ISUZU MOTORS LIMITED May 20, Copyright(C) 2004 Isuzu Motors Ltd. All rights reserved

2 President & Representative Director Yoshinori Ida 2 Copyright(C) 2004 Isuzu Motors Ltd. All rights reserved

3 1. FY2004 Highlights Apr Mar Copyright(C) 2004 Isuzu Motors Ltd. All rights reserved

4 New 3-year 3 Business Plan: Key Points Eliminate Uncertainties Recapitalization NA SUV Business Restructuring Establish PT JV with GM Workforce rightsizing (VER) Integrate mfg. infrastructure Debt-for-equity conversion Capital stock reduction/increase (Cancellation of GM stockholding without consideration) Transformation of of business structure into CV Specialist by Positioning DE as Core Technology Support from GM and financial institutions 4 Copyright(C) 2004 Isuzu Motors Ltd. All rights reserved

5 FY2004 Highlights: Consolidated Results - Renewed record profits across the board - FY2004 Act. Sales revenue: 1, ,250.0 (+14%) Operating profit: (+69%) OP % 5.91% Working profit: WP % 5.71% Net income: (+56%) Net income % 3.82% Sales Vol: Japan (k. units) 103 (+ 66.5%) Worldwide sales: (k. units) 177 (- 17.9%) N3BP Target (changes) 5 Copyright(C) 2004 Isuzu Motors Ltd. All rights reserved

6 Consolidated Revenue by Segment (JPY :Bil.) 1, , , , , SUV, CV, PT, Other (KD, parts, financing) 1, , , , , Other PT CV SUV '00/3 '01/3 '02/3 '03/3 '04/3 6 Copyright(C) 2004 Isuzu Motors Ltd. All rights reserved

7 (JPY :Bil.) 1, , , , , ,506.6 Consolidated Revenue by Region Taking advantage of globalization initiative , , , , Other Asia U.S Japan 0.0 '00/3 '01/3 '02/3 '03/3 '04/3 7 Copyright(C) 2004 Isuzu Motors Ltd. All rights reserved

8 (JPY :Bil.) 10 Consolidated Dealers & 5 Suppliers in Japan: Improved operating performance of Isuzu-Group companies '00/3 '01/3 0.4 '02/ '03/3 3.1 Consolidated Dealers in Japan 5 Suppliers in Japan '04/ Note: 5 suppliers in Japan: TDF, JBK, JIK, Castec, Shonan Unitech 8 Copyright(C) 2004 Isuzu Motors Ltd. All rights reserved

9 100.0 (JPY:Bil.) Financial Performance: Trend - Undertaken one-time charges to realize fundamental reform Operating Profit Working Profit 54.7 Net Income 0.0 (5.8) (2.0) (4.2) (50.0) (50.8) (27.3) (47.4) (43.0) (68.0) (66.8) (100.0) (104.2) (150.0) (144.3) FY99 FY00 FY01 FY02 FY03 FY04 9 Copyright(C) 2004 Isuzu Motors Ltd. All rights reserved

10 Operating Margin : Historical Trend - Robust profit improvement - (JPY:Bil.) (%) Parent FY FY97 FY98 FY99 FY00 FY01 (0.4) Consolidated Operating Profit FY02 FY03 FY (3.4) (1.7) (27.3) (50.8) (5.6) Copyright(C) 2004 Isuzu Motors Ltd. All rights reserved

11 273.0 Net Worth Improvement - Consolidated and parent net worth - (JPY: Bil) (%) Parent Net Worth % Consolidated Net Worth % Copyright(C) 2004 Isuzu Motors Ltd. All rights reserved Concl. Net Worth '00/3 '01/3 '02/3 '03/3 '04/3 Parent Net Worth

12 New 3-year 3 BP: Actual vs. Target - Achieved targets - (JPY:Bil.) FY03 FY04 FY05 Sales Revenue 1, , ,270.0 Act: 1,349.4 Act: 1,430.3 Operating Profit or, Over Act: 15.5 Act: 84.5 Net Income (170.0) or, Over Act: Act: 54.7 Outstanding debt Act: Act: Copyright(C) 2004 Isuzu Motors Ltd. All rights reserved

13 Executive Vice President & CFO Shigeki Toma 13 Copyright(C) 2004 Isuzu Motors Ltd. All rights reserved

14 2. Business Environment 14 Copyright(C) 2004 Isuzu Motors Ltd. All rights reserved

15 Japan Industry Sales and Isuzu Share - HD, 2- to 3-ton Truck - (Units) (Share) 160, , , ,000 80,000 60,000 40,000 20, % 33.7% 106, % 24.9% 98, ton H/D&M/D 23.8% 76,794 79,987 78, % 93, % 24.0% 95,325 78, % 147, , % H/Dand M/D 2-3ton 40% 35% 30% 25% 20% 15% 10% 5% 0 FY00 FY01 FY02 FY03 FY04 0% 15 Copyright(C) 2004 Isuzu Motors Ltd. All rights reserved

16 (Units:K) % % 328 Thailand Industry Sales - Total market, pickup segment, and Isuzu Share- 38% % % Isuzu pickup share CY95 CY96 CY97 CY98 CY99 CY00 CY01 CY02 CY03 36% % Brand new D-MAX Pickup launched % % Pickup P/Cetc. 309 (Share) 45% 40% 35% 30% 25% 20% 15% 10% 5% 0% 16 Copyright(C) 2004 Isuzu Motors Ltd. All rights reserved

17 3. FY2004 Financial Summary 17 Copyright(C) 2004 Isuzu Motors Ltd. All rights reserved

18 FY2004 Consolidated Results - Year-on-Year - Consolidated (JPY:Bil.) FY04 FY03 Changes Consl vs. Parent Ratio Sales Revenue 1, , Operating Profit Working Profit 81.7 (4.2) Net Income 54.7 (144.3) Parent (JPY:Bil.) FY04 FY03 Changes Sales Revenue Operating Profit Working Profit Net Income 38.9 (189.4) Copyright(C) 2004 Isuzu Motors Ltd. All rights reserved

19 FY2004 Consolidated Results - Sales Revenue by Segment (YOY) - (JPY:Bil.) FY04 FY03 Changes Sales Revenue 1, , Operating Profit Working Profit 81.7 (4.2) Net Income 54.7 (144.3) Sales Revenue by Segment FY04 FY03 Changes Parent Japanese DLRs North America (46.0) ISPOL, DMAX (148.1) ASEAN Other Adjust. (585.6) (501.2) (84.4) Total 1, , Copyright(C) 2004 Isuzu Motors Ltd. All rights reserved

20 FY2004 Consolidated Results - Operating Profit by Segment (YOY) - (JPY:Bil.) FY04 FY03 Changes Sales Revenue 1, , Operating Profit Working Profit 81.7 (4.2) Net Income 54.7 (144.3) Operating Profit by Segment FY04 FY03 Changes Parent Japanese DLRs North America (1.4) (24.0) ISPOL, DMAX (7.8) ASEAN Other Adjust. (1.6) 9.5 (11.1) Total Copyright(C) 2004 Isuzu Motors Ltd. All rights reserved

21 FY2004 Parent Results - Operating Profit Variance (YOY) - (JPY:Bil.) FY04 FY03 Changes Operating Profit Variance due to: Favorable Vol. Mix Rationalization Expense reduction Total favorable Unfavorable Incrs. in expense (9.0) FX (2.7) GM alliance (10.7) Total unfavorable (22.4) Total Copyright(C) 2004 Isuzu Motors Ltd. All rights reserved

22 FY2004 Consolidated Results - Working Profit/Net Income variance (YOY) - (JPY:Bil.) FY04 FY03 Changes Sales Revenue 1, , Operating Profit Working Profit 81.7 (4.2) Net Income 54.7 (144.3) Operating Profit Working Profit Changes in Operating Profit Favorable On-equity gain Financial income +5.8 Total Changes in OP Changes in Working Profit Favorable Restructuring charges; prev term Gain on sale of stockholding +5.5 Unfavorable NA restructuring charges (7.8) Fixed assets disposal, etc. (16.4) Other (8.3) Total Changes in WP Copyright(C) 2004 Isuzu Motors Ltd. All rights reserved

23 Outstanding Debt (Consolidated) (JPY:Bil.) 1, , , FY00 FY01 FY02 FY03 FY04 23 Copyright(C) 2004 Isuzu Motors Ltd. All rights reserved

24 Equity Capital Improvement - Total Shareholders Equity : Consolidated - (JPY:Bil.) (EPS in JPY) EPS Shareholder's equity FY00 FY01 FY02 FY03 FY Copyright(C) 2004 Isuzu Motors Ltd. All rights reserved

25 (JPY:Bil.) Other 91.2 Inventory Balance - Consolidated Inventory turnover month (Months) Parent FY00 FY01 FY02 FY03 FY04 25 Copyright(C) 2004 Isuzu Motors Ltd. All rights reserved

26 (JPY:Bil.) % Improved Earnings Foundation - Fixed cost to total revenue % % % % % 78.9 (%) 30% 25% 20% 15% Copyright(C) 2004 Isuzu Motors Ltd. All rights reserved 95.9 Head Office 84.4 FY99 FY00 FY01 FY02 FY03 FY04 Manufacturing 10% 5% 0%

27 4. FY2005 Forecast 27 Copyright(C) 2004 Isuzu Motors Ltd. All rights reserved

28 Apr. 03 Regulation Impact on Japan Industry Sales - HD Sales in Japan: Conceptual Image - Tokyo Gov t t Ordinance Oct. 03 Apr. 04 Oct. 04 Apr. 05 FY04 FY05 Truck purchase driven by Tokyo Gov t t Ordinance Actual NOx/PM compliance Base demand 28 Copyright(C) 2004 Isuzu Motors Ltd. All rights reserved

29 Japan Industry Sales - HD, 2- to 3-ton Truck - (Units) 160, , , , , , ,000 98, ,152 93,167 95,325 89,000 80,000 60,000 40,000 20,000 76,794 79,987 78,168 78,601 H/D and M/D 2-3 ton 0 FY00 FY01 FY02 FY03 FY04 FY05 (Fcst.) 29 Copyright(C) 2004 Isuzu Motors Ltd. All rights reserved

30 FY2005 Consolidated Forecast - Year-on-Year - Consolidated (JPY:Bil.) FY05 FY04 Changes N3BP Changes Sales Revenue 1, ,430.3 (80.3) Operating Profit (14.5) Working Profit (16.7) - - Net Income (4.7) 5.0 ±0.0 Parent (JPY:Bil.) FY05 FY04 Changes N3BP Changes Sales Revenue (120.3) Operating Profit (17.0) 5.0 ±0.0 Working Profit (12.6) - - Net Income ±0.0 FX assumption: JPY 105/$ for FY06 30 Copyright(C) 2004 Isuzu Motors Ltd. All rights reserved

31 Actual Results + Fcst vs. New 3-year 3 BP - Consolidated Operating Profit - (JPY:Bil.) New 3-year Business Plan Actual / Fcst. 0.0 FY03 FY04 FY05 (Fcst) 31 Copyright(C) 2004 Isuzu Motors Ltd. All rights reserved

32 FY2005 Consolidated Forecast - Sales Revenue by Segment - (JPY:Bil.) FY05 FY04 Changes Sales Revenue 1, ,430.3 (80.3) Operating Profit (14.5) Working Profit (16.7) Net Income (4.7) Sales Revenue by Segment FY05 FY04 Changes Parent (120.3) Japanese DLRs (101.2) North America (5.5) ASEAN Other (35.6) Adjust. (470.0) (585.6) Total 1, ,430.3 (80.3) 32 Copyright(C) 2004 Isuzu Motors Ltd. All rights reserved

33 FY2005 Consolidated Forecast - Operating Profit by Segment - (JPY:Bil.) FY05 FY04 Changes Sales Revenue 1, ,430.3 (80.3) Operating Profit (14.5) Working Profit (16.7) Net Income (4.7) Operating Profit by Segment FY05 FY04 Changes Parent (17.0) Japanese DLRs (0.5) North America 1.0 (1.4) +2.4 ASEAN Other (2.8) Adjust. (3.0) (1.6) (1.4) Total (14.5) 33 Copyright(C) 2004 Isuzu Motors Ltd. All rights reserved

34 FY2005 Parent Forecast - Operating Profit Variance (YOY) - (JPY:Bil.) FY05 FY04 Changes Working Profit (17.0) Variance due to: Favorable Rationalization +7.4 Expense reduction Total favorable Unfavorable Vol/mix (29.9) FX (3.1) Incrs. in expense (6.8) Total unfavorable (39.8) Total (17.0) 34 Copyright(C) 2004 Isuzu Motors Ltd. All rights reserved

35 FY2005 Consolidated Forecast - Working Profit/Net Income Variance (YOY) - (JPY:Bil.) FY05 FY04 Changes Sales Revenue 1, ,430.3 (80.3) Operating Profit (14.5) Working Profit (16.7) Net Income (4.7) Operating Profit Working Profit Operating Profit changes (14.5) Favorable Financial income, ect Unfavorable On-eauity income (4.2) Total changes in OP (16.7) Working Profit changes (16.7) Favorable NA restructuring charges +7.8 Fixed assets disposal, etc Other +3.7 Unfavorable Sale of stockholdings (2.6) Total changes in WP (4.7) 35 Copyright(C) 2004 Isuzu Motors Ltd. All rights reserved

36 New 3-year 3 Business Plan Targets - Consolidated - (JPY:Bil.) FY03 FY04 FY05 Sales Revenue 1, , ,270.0 Act: 1,349.4 Act: 1,430.3 Fcst: 1,350.0 Operating Profit or, Over Act: 15.5 Act: 84.5 Fcst: 70.0 Net Income (170.0) or, Over Act: Act: 54.7 Fcst: 50.0 Outstanding debt Act: Act: Fcst: Copyright(C) 2004 Isuzu Motors Ltd. All rights reserved

37 37 Copyright(C) 2004 Isuzu Motors Ltd. All rights reserved