Yamaha Corporation · TSE:7951
Yamaha — Q1 FY2025.3 Earnings Presentation
31 slides from Yamaha's earnings presentation, Jul 31, 2024
Slide 1: Analyst and Investor Briefing on First Quarter of FY2025.3
Analyst and Investor Briefing on First Quarter of FY2025.3 (Fiscal year ending March 31, 2025) July 31, 2024 Yamaha Corporation
Slide 2: FY2025.3 1Q Highlights
FY2025.3 1Q Highlights Overview Performance in FY2025.3 1Q • Revenue increased year-on-year due to strong B2B sales of audio equipment and the impact of foreign exchange rates, but the revenue decreased in real terms due to struggling sales of musical instruments caused by prolonged sluggishness in
Slide 3: 1. Performance Summary
1. Performance Summary YAMAHA
Slide 4: FY2025.3 1Q (Three Months) Summary
FY2025.3 1Q Performance FY2025.3 (three months) Full Year Outlook FY2025.3 1Q (Three Months) Summary (billions of yen) *3 FY2024.3 1Q FY2025.3 1Q Change (YoY) *2 Revenue 106.2 112.1 6.0 +5.6% Core Operating Profit 6.5 9.2 2.7 ＋41.5% (Core Operating Profit Ratio) (6.1%) (8.2%) *1 Net Profit 6.5 9.4 2
Slide 5: Core Operating Profit Analysis
FY2025.3 1Q Performance FY2025.3 (three months) Full Year Outlook Core Operating Profit Analysis (billions of yen) Versus previous year Ocean freight Impact of *1 charges SG&A IMC business exchange rates and others -0.1 0.5 -0.2 -0.5 -1.0 9.2 Cost increase Decrease in sales, 4.0 production and 6.5 m
Slide 6: Performance by Business Segment
FY2025.3 1Q Performance FY2025.3 (three months) Full Year Outlook Performance by Business Segment (billions of yen) Exchange FY2024.3 1Q*2 FY2025.3 1Q Change rate impact Revenue 72.2 71.4 -0.8 5.8 Musical Core Operating Profit 4.7 4.2 -0.5 2.4 Instruments Core Operating Profit Ratio 6.5％ 5.8％ -0.7P
Slide 7: FY2025.3 Outlook
FY2025.3 1Q Performance FY2025.3 (three months) Full Year Outlook FY2025.3 Outlook (billions of yen) FY2024.3 FY2025.3 Full year Change Full year (projections) *2 Revenue 462.9 475.0 12.1 +2.6% Core Operating Profit 33.7 46.0 12.3 +36.7% (Core Operating Profit Ratio) (7.3%) (9.7%) *1 Net Profit 29.6
Slide 8: Core Operating Profit Analysis
FY2025.3 1Q Performance FY2025.3 (three months) Full Year Outlook Core Operating Profit Analysis (billions of yen) Versus previous year *1 One-time IMC business expenses and others Impact of Ocean freight -1.6 46.0 exchange rates 4.4 -0.2 charges SG&A -0.7 2.7 Cost increase -2.0 9.7 Increase in sale
Slide 9: Performance by Business Segment
FY2025.3 1Q Performance FY2025.3 (three months) Full Year Outlook Performance by Business Segment (billions of yen) FY2024.3 FY2025.3 Exchange Full year Change Full Year (projections) rate impact Revenue 305.2 305.0 -0.2 9.7 Musical Core Operating Profit 25.3 29.0 3.7 6.3 Instruments Core Operating
Slide 10: 2. Segment Overview & Updates
2. Segment Overview & Updates
Slide 11: Segment Revenue and Core Operating Profit: Musical Instruments
Musical Instruments Audio Equipment IMC Business and Others Segment Revenue and Core Operating Profit Three Months: Revenue decreased, primarily due to sluggish Chinese market ･Sales of pianos and digital musical instruments decreased due to lower demand in the Chinese market. Sales of wind, strings
Slide 12: Revenue by Major Product Category
Musical Instruments Audio Equipment IMC Business and Others Revenue by Major Product Category (billions of yen) Pianos Digital Musical Winds, Strings Guitars Instruments /Percussion (102%) 103.0 (89%) 102.7 97.3 22.9 (93%) 23.5 (104%) (97%) 68.8 69.4 60.6 (88%) 30.1 (89%) 62.3 (109%) 55.9 (82%) 28.6
Slide 13: Revenue by Region
Musical Instruments Audio Equipment IMC Business and Others Revenue by Region (95%) (98%) (billions of yen) 82.7 84.0 85.9 (100%) 22.2 24.8 (101%) (101%) (104%) (101%) (98%) 64.3 62.2 61.7 59.6 58.6 (95%) 57.4 55.6 (96%) 56.0 56.5 (106%) 14.4 51.0 (90%) (95%) 15.0 16.1 (82%) 4Q 22.8 21.6 13.2 13.2 1
Slide 14: Segment Revenue and Core Operating Profit: Audio Equipment
Musical Instruments Audio Equipment IMC Business and Others Segment Revenue and Core Operating Profit Three Months: Revenue increased due to strong B2B product sales • Home audio products business of consumer products downsized due (billions of yen) to focusing on mid- to high-end products. Revenue
Slide 15: Revenue by Major Product Category
Musical Instruments Audio Equipment IMC Business and Others Revenue by Major Product Category (billions of yen) Consumer Products B2B Products (113%) 71.7 (128%) 61.3 (90%) (98%) (128%) 50.8 48.7 49.3 19.5 (79%) 45.3 4Q 12.6 11.1 14.1 (126%) (101%) 15.6 3Q 14.5 15.6 11.8 (136%) (91%) 14.2 12.2 11.8
Slide 16: Revenue by Region
Musical Instruments Audio Equipment IMC Business and Others Revenue by Region (112%) (billions of yen) 36.7 (102%) (105%) (102%) (102%) 32.1 (116%) 32.1 31.2 31.7 31.5 30.3 (99%) (110%) 26.9 (103%) (98%) 8.3 4Q 11.4 24.5 8.4 (119%) 24.4 10.9 7.4 22.6 6.9 (99%) (116%) (139%) 8.5 17.7 6.0 (106%) 3Q 7.
Slide 17: Segment Revenue and Core Operating Profit: IMC Business and Others
Musical Instruments Audio Equipment IMC Business and Others Segment Revenue and Core Operating Profit Three Months: • Sales of electronic devices increased driven by sales of automotive sound systems. Revenue • Sales of automobile interior wood components, factory automation (billions of yen) equipm
Slide 18: 3. Other Financial Figures
3. Other Financial Figures mam I ten YAMAHA
Slide 19: Balance Sheet Summary
Performance Other Segment Overview Topics Summary Financial Figures Balance Sheet Summary (billions of yen) As of March As of June As of March Change 31, 2025 31, 2024 30, 2024 (projections) Cash and cash equivalents 101.6 98.0 -3.6 128.0 Trade and other receivables 88.0 83.2 -4.8 89.0 Other financi
Slide 20: ROE, ROIC and Shareholder Returns
Performance Other Segment Overview Topics Summary Financial Figures ROE, ROIC and Shareholder Returns ROE FY2025.3 forecast 6.8% ROIC FY2025.3 forecast 6.5% (Cost of shareholders’ equity* 7.9%) (WACC 7.9%) 10% or 10% or 10.1% more more 9.7% 9.2％ 8.8% 7.4% 7.9% 7.8% 7.3% 6.8% 6.5% 6.1% 5.5% FY2020.3
Slide 21: Capital Expenditure/Depreciation and R&D Expenses
Performance Other Segment Overview Topics Summary Financial Figures Capital Expenditure/Depreciation and R&D Expenses Capital Expenditure/Depreciation (billions of yen) 27.1 1.7 20.0 4.9 ■Others 6.8 2.0 0.3 4.0 ■Audio Equipment 4.1 1.4 0.1 20.5 ■Musical Instruments 0.8 13.8 14.0 15.0 5.1 3.7 ■Deprec
Slide 22: 4. Topics
4. Topics
Slide 23: Medium-Term Management Plan Key Themes
Performance Other Segment Overview Topics Summary Financial Figures Medium-Term Management Plan Key Themes Further strengthen the business foundation Develop closer ties with Create new value customers Creating customer interactions that Develop Products with Distinctive Individuality Investment in
Slide 24: Medium-Term Management Plan Key Themes
Performance Other Segment Overview Topics Summary Financial Figures Medium-Term Management Plan Key Themes Set sustainability as a EnableYamaha colleaguestobe more Engagement tools published source of value valued, more engagedandmore committed [Culture] Foster open organizational Expand market thro
Slide 25: Governance
Performance Other Segment Overview Topics Summary Financial Figures Governance New management team (Non-executive to chair the board and the compensation committee to become a wholly outside director structure) Expertise held by the Company’s Directors ◆ Manufacturing, Corporate Legal and risk Finan
Slide 26: Acquisition and Cancellation of Treasury Stock
Performance Other Segment Overview Topics Summary Financial Figures Acquisition and Cancellation of Treasury Stock Acquisition of Treasury Stock Type of shares acquired Common shares of the Company Number of shares acquired 4,604,500 shares Amount of Acquisition ¥14,999,798,140 Acquisition period Fe
Slide 27: Stock Split, Dividend Forecast, and Shareholder Benefits
Performance Other Segment Overview Topics Summary Financial Figures Stock Split, Dividend Forecast, and Shareholder Benefits Stock Split ＜Purpose＞ The purpose is to expand the investor base by reducing the Company's stock price per investment unit. <Outline of the split> Method: Each share of common
Slide 28: Appendix
Appendix YAMAHA
Slide 29: 1Q Other Income and Expenses
1Q Other Income/ FY2025.3 Full Year Expenses (three months) Other Income/Expenses 1Q Other Income and Expenses （billions of yen ） *2 FY2024.3 1Q FY2025.3 1Q Core Operating Profit 6.5 9.2 Profit from (loss on) disposal of fixed assets 0 0 Other Income and Expenses Others 0.1 -0.1 Total 0.1 -0.1 Opera
Slide 30: Full Year Other Income and Expense
1Q Other Income/ FY2025.3 Full Year Expenses (three months) Other Income/Expenses Full Year Other Income and Expense （billions of yen ） FY2024.3 FY2025.3 Full year Full year ( projections) Core Operating Profit 33.7 46.0 Profit from (loss on) disposal of fixed assets -0 -0.3 Other Income and Expense
Slide 31: Forward-looking statements notice
In this report, the figures forecast for the Company’s future performance have been calculated on the basis of information currently available to Yamaha and the Yamaha Group. Forecasts are, therefore, subject to risks and uncertainties. Accordingly, actual performance may differ greatly from our pro