Nissan Motor Co., Ltd. · TSE:7201
Nissan Motor — H1 FY2010 Earnings Presentation
22 slides from Nissan Motor's earnings presentation, Nov 4, 2010
Slide 1: FY 2010 first-half financial results
FY 2010 first-half financial results November 4, 2010 Nissan Motor Co., Ltd. FY10 first-half financial results Key performance indicators: Financial results (billion yen) Net revenue Operating Net income Free cash flow Net debt profit (Auto) (Auto) +27.7% 4,319.1 +252.9% 293.3 3,383.4 334.9 +2,215.9
Slide 2: FY10 first-half update
FY10 first-half update Nissan's approach for the environment Nissan EV LEAF Series Idling Clean Hybrid Stop Diesel Low CO2 (Low-fuel Consumption) 2 FY10 first-half financial results FY10 first-half update Product launches Juke zOrders in Japan (As of Oct 15): > 20,000 zPre-orders in Europe (Start of
Slide 3: FY10 first-half sales performance: Global
FY10 first-half sales performance FY10 first-half financial performance FY10 outlook 4 FY10 first-half financial results FY10 first-half sales performance: Global Change vs. TIV* All FY09 1H Retail volume 35.93 regions +14.5% Change vs. 2.54 Japan +16.8% All FY09 1H 31.38 regions +23.8% North 2,009
Slide 4: Sales performance: Japan and North America
FY10 first-half sales performance: Japan Retail volume TIV increased 16.8% to 2.5 million units (thousand units) 15.3% 2Q sales in Japan increased 12.5% to 285 328 190.6 k units due to Juke, new March and new Elgrand FY09 FY10 March 1H 1H Market share -0.2% 13.1 Juke Elgrand 12.9 (%) FY09 FY10 1
Slide 5: Sales performance: Europe and China
FY10 first-half sales performance: Europe Retail volume TIV decreased 3.5% to 8.9 million units (thousand units) +12.6% Sales in Western Europe, increased by 8.6% to 218.1 k units 246 277 Sales in Russia increased 38.9% from 30.7 k units to 42.6 k units Market share: FY09 FY10 1H 1H FY09 FY1
Slide 6: Sales performance: Other markets
FY10 first-half sales performance: Other markets Sales in Thailand increased 97.2% to 28.6 k units (2Q sales: +103.3% to 15.6 k units) Sales in Middle East increased 10.4% to 86.9 k units Retail volume (2Q sales: +21.6% to 44.1 k units) (thousand units) +32.9% Sales in Australia increased 21.8
Slide 7: FY10 first-half financial performance
FY10 first-half financial performance FY09 FY10 Change (billion yen) 1H 1H Variance vs FY09 (%) Net revenue 3,383.4 4,319.1 +935.7 +27.7% Operating profit 94.9 334.9 +240.0 +252.9% Non-operating -61.7 -19.8 Ordinary profit 33.2 315.1 +281.9 +848.8% Extraordinary -12.9 0.4 Profit before tax 20.3 315.
Slide 8: Free cash flow and net debt (Auto business)
FY10 first-half financial performance Free cash flow (Auto business) (billion yen) -184.3 +111.2 -85.7 303.6 -110.1 +462.4 215.7 +18.3 +3.9 Net cash AP / AR Inventory Tax / Cash flow Capex* Asset Other Free inflow other from sales investing cash from P&L operating operating activities activities flo
Slide 9: Inventory management
Inventory management (New vehicles inventory) 800 74 80 700 70 600 57 60 49 44 (thousand units) 500 670 43 42 50 42 44 (Days) 400 570 40 470 520 300 440 410 490 470 30 200 20 100 10 0 0 2008 2009 2010 Dec Mar Jun Sep Dec Mar Jun Sep Dealer inventory, except some minor countries 16 Days supply FY10 f
Slide 10: FY10 outlook
FY10 outlook vs. vs. Prev. vs. vs. Prev. FY09 Outlook Production volume Retail volume FY09 Outlook 4,100 Global +16.7% +7.9% 4,050 Global +23.4% +8.0% 3,800 3,750 3,515 615 Japan -2.4% +2.5% 600 3,282 1,140 Japan +11.2% +3.6% 630 North 1,100 1,220 America +14.3% +1.2% (945) (US) (+14.7%) (±0.0%) 1,0
Slide 11: FY10 outlook and all-new product launches
FY10 outlook Operating profit variance analysis (billion yen) (FY09 actual vs FY10 latest forecast) -180.0 -100.0 -20.0 -40.0 485.0 +185.0 +38.4 311.6 -185.0 +475.0 FY09 FOREX Volume Raw Purch. Selling Resale of R&D Others FY10* O.P. / mix material / cost exp. returned exp. O.P. energy reduction lea
Slide 12: Third PURE DRIVE vehicle: Fuga Hybrid
Third PURE DRIVE vehicle: Fuga Hybrid Intelligent Dual Clutch Control lithium-ion battery 22 FY10 first-half financial results 23 FY10 first-half financial results
Slide 13: Appendix: Sales financing funding sources
Appendix 24 FY10 first-half financial results Sales financing : Funding sources (As of September 2010) Equity Group Finance 11.3% (Inter-Company) 18.8% ABS Off B/S 6.2% Commercial paper 6.0% S/T Loan 1.4% ABS On B/S 23.8% L/T Loan Total funding amount 21.5% 3,809 billion yen Bonds 10.9% 25 FY10 firs
Slide 14: Sales financing: penetration and net credit loss ratio
Sales financing: penetration Retail Lease 100 % 90 NFS NMAC NCF NRFM 80 70 60 29% 18% 50 24% 40 20% 3% 30 3% 44% 42% 36% 30% 20 26% 33% 32% 29% 10 0 FY09 FY10 FY09 FY10 FY09 FY10 FY09 FY10 1H 1H 1H 1H 1H 1H 1H 1H NFS: Nissan Financial Service, sales finance company in Japan NMAC: Nissan Motor Accept
Slide 15: Sales financing: operating profit and asset
Sales financing: operating profit & asset ( NFS : billion yen, NMAC : million USD, NCF : million CAD, NRFM : million Peso) FY09 FY10 1H 1H Variance Asset: 1,148.5 Asset: 1,154.6 Asset: +6.1 NFS OP: 7.8 OP: 7.9 OP: +0.1 Asset: 31,067 Asset: 31,471 Asset: +404 NMAC OP: 265 OP: 416 OP: +151 Asset: 4,14
Slide 16: Second-quarter sales performance: Global
FY10 second-quarter sales performance: Global TIV* Retail volume Change vs. Change vs. All FY09 2Q All FY09 2Q regions +9.4% 1,055 regions +17.1% 17.65 16.14 1.38 Japan +13.6% 901 191 Japan +12.5% North 3.62 America +1.0% North (thousand units) (3.01) (US) (±0.0%) (Million units) 302 America +2.9% (
Slide 17: Second-quarter financial performance
FY10 second-quarter financial performance Operating profit variance analysis (billion yen) -44.3 167.0 -6.9 -13.4 +9.4 -5.8 +14.3 +8.2 +11.9 83.3 -39.9 +127.5 -18.3 +41.0 FY09 FOREX Raw Purch. Volume Selling Resale of R&D Mfg. Warranty Sales AFL After sales FY10 2Q material cost / mix exp. returned
Slide 18: Non-operating and extraordinary items, first half
FY10 first-half financial performance Detail of non-operating income/expenses (billion yen) FY09 FY10 Variance 1H 1H • Interest income / expenses -7.4 -6.8 +0.6 • FX translation -12.5 -26.9 -14.4 NML -11.3 -15.1 -3.8 NMEX -11.2 1.2 +12.4 NMAC -0.3 -14.4 -14.1 Others 10.3 1.4 -8.9 Offset • Derivative
Slide 19: Non-operating and extraordinary items, second quarter
FY10 second-quarter financial performance Detail of non-operating income/expenses (billion yen) FY09 FY10 Variance 2Q 2Q • Interest income / expenses -2.8 -3.4 -0.6 • FX translation 5.6 -22.7 -28.3 NML -10.4 -1.4 +9.0 NMEX 6.0 -1.1 -7.1 NMAC 0.4 -17.5 -17.9 Others 9.6 -2.7 -12.3 Offset • Derivative
Slide 20: FY10 outlook variance and second-quarter free cash flow
FY10 outlook Operating profit variance analysis (FY10 previous forecast vs FY10 latest forecast) (billion yen) 485.0 -35.0 +10.0 +20.0 +15.0 +5.0 +55.0 350.0 -140.0 +205.0 FY10 O.P. FOREX Volume Raw Purch. Selling Resale of R&D Others FY10* / mix material / cost exp. returned exp. O.P. outlook energ
Slide 21: Free cash flow variance and other markets retail sales
FY10 first-half financial performance Free cash flow (Auto business) variance (billion yen) FY09 FY10 Variance 1H 1H Net cash inflow from P&L items 199.3 462.4 +263.1 AP/AR 126.0 111.2 -14.8 Inventory -4.8 -184.3 -179.5 Tax/Others 15.6 -85.7 -101.3 Operating activities 336.1 303.6 -32.5 Capex* -141.
Slide 22: Second-quarter retail sales: other markets
FY10 second-quarter retail sales FY10 2Q Detail of other markets FY09 2Q 100 67.4 (thousand units) 50 44.1 38.8 46.6 36.3 22.5 16.2 12.9 0 Asia & M.East Africa Latin Oceania America 42 FY10 first-half financial results