Toyota Motor Corp. · TSE:7203
Toyota Motor — FY2003 Earnings Presentation
34 slides from Toyota Motor's earnings presentation, May 8, 2003
Slide 1: Toyota Motor Corporation FY2003 Financial Results
Toyota Motor Corporation FY2003 Financial Results twelve months ended March 31, 2003 - prepared in accordance with Japan GAAP - May 8, 2003 1
Slide 2: Cautionary Statement with Respect to Forward-Looking Statements
Cautionary Statement with Respect to Forward-Looking Statements This release contains forward-looking statements that reflect Toyota’s plans and expectations. These forward-looking statements are not guarantees of future performance and involve known and unknown risks, uncertainties and other factor
Slide 3: Caution concerning insider trading
Caution concerning insider trading: Under Japanese securities laws and regulations (the "Regulations"), although there are certain exceptions, any person who receives certain material information relating to the business, etc., of Toyota which may be contained in this document is prohibited from tra
Slide 4: I. Consolidated Financial Summary
I. Consolidated Financial Summary 4
Slide 5: Notes to Consolidated Financial Results
Notes to Consolidated Financial Results <1> Japan GAAP ! US GAAP financial figures (Apr ’02 - Mar ’03) to be released late July <2> Scope of Consolidation and Affiliates Accounted for under Equity Methods FY2001 FY2002 FY2003 Changes Changes Consoliodated Subsidiaries 445 + 119 564 + 17 581 Affiliat
Slide 6: Consolidated Financial Summary
Consolidated Financial Summary FY2003 FY2002 (Apr'02-Mar'03) (Apr'01-Mar'02) Changes (billions of yen) (billions of yen) (billions of yen) Net Sales * 16,054.2 15,106.2 948.0 Operating Income * 1,363.6 1,123.4 240.2 Ordinary Income * 1,414.0 1,113.5 300.5 Income before Taxes & Minority Interest in C
Slide 7: Consolidated Vehicle Sales
Consolidated Vehicle Sales (thousands of units) 6,246 (+ 462) * 5,784 6,000 1,270 779 * 921 5,000 682 Overseas 776 Total 691 * 866 634 4,000 3,005 3,204 3,567 4,028 (+461) 1,734 1,780 1,982 3,000 1,689 2,000 Other Europe 2,218 2,177 2,322 2,217 N. America 1,000 (+1) Japan 0 FY2000 FY2001 FY2002 FY20
Slide 8: Consolidated Vehicle Production
Consolidated Vehicle Production (thousands of units) 5,982 (+578) 6,000 * 5,404 550 Overseas 194 * 273 387 Total 5,000 185 1,375 176 1,177 * 309 1,820 (+445) 173 883 1,139 807 793 781 4,000 3,000 4,162 2,000 4,098 4,029 3,863 (+133) Other Europe 1,000 N. America Japan 0 FY2000 FY2001 FY2002 FY2003 *
Slide 9: Changes in Operating Income
Changes in Operating Income (billions of yen) 1,363.6 1,500 (+240.2) 10% 1,123.4 1,000 870.1 775.9 8.5% 500 7.4% 6.5% 6.0% 0 5% FY2000 FY2001 FY2002 FY2003 Operating Income Operating Income Ratio 9
Slide 10: Contributions to Operating Income
Contributions to Operating Income (billions of yen) Increase in Sales Cost Reduction Efforts +300.0 +90.0 1,363.6 (+240.2) 1,123.4 Favorable Forex Rate +60.0 Increase in R&D and Labor Costs, etc. -209.8 FY2002 FY2003 10
Slide 11: Geographical Segments: Japan
Geographical Segments: Japan FY2003 FY2002 Changes Operating billions of yen billions of yen billions of yen % Income 1,032.8 870.3 162.5 18.7 Alphard WISH ist WiLL CYPHA G-Book 11
Slide 12: Geographical Segments: North America
Geographical Segments: North America FY2003 FY2002 Changes Operating billions of yen billions of yen billions of yen % Income 289.7 265.6 24.1 9.1 Corolla Lexus ES300 Highlander 12
Slide 13: Geographical Segments: Europe
Geographical Segments: Europe FY2003 FY2002 Changes Operating billions of yen billions of yen billions of yen % Income 3.9 - 12.4 16.3 – Corolla Avensis Lift-back Avensis Wagon European European Upper Upper Avensis Sedan Core Core Model Model New New Avensis Avensis RAV4 13
Slide 14: Geographical Segments: Other
Geographical Segments: Other FY2003 FY2002 Changes Operating billions of yen billions of yen billions of yen times Income 52.5 19.7 32.8 2.7 Corolla Altis October ’02 Production of VIOS starts at Tianjin Plant → Capacity Expansion due to strong sales (50,000 units from 30,000 annually) VIOS Hilux 14
Slide 15: Business Segments: Financial Services
Business Segments: Financial Services Operating Income: 28.5 billion yen (-40.1 billion yen decrease compared to FY2002) ! Expansion of Financial Services Business Operation: 5.3 billion yen ! Increase in evaluation loss from interest rate swap agreements entered into by US finance subsidiary: - 45.
Slide 16: Capital Expenditures, Depreciation, R&D
Capital Expenditures, Depreciation, R&D Capital Depreciation R&D Expenditure Expenses Expenses (billions of yen) (billions of yen) (billions of yen) Consolidated Total 993.5 738.1 671.6 Japan 535.7 471.9 North America 282.5 169.7 Europe 106.7 54.4 Other 68.6 42.1 16
Slide 17: Non-operating Income, etc.
Non-operating Income, etc. Non-operating Income: 50.4 billion yen (60.3 billion yen increase compared to FY2002) ! Increase in income from equity in earnings of affiliates: 66.9 billion yen, etc. Extraordinary Gains: 235.3 billion yen (235.3 billion yen increase compared to FY2002) ! Gains on return
Slide 18: II. Unconsolidated Financial Summary
II. Unconsolidated Financial Summary 18
Slide 19: Unconsolidated Results Summary
Unconsolidated Results Summary FY2003 FY2002 (Apr'02-Mar'03) (Apr'01-Mar'02) Changes (billions of yen) (billions of yen) (billions of yen) Net Sales * 8,739.3 8,284.9 454.4 Operating Income * 861.3 748.9 112.4 Ordinary Income * 892.6 768.9 123.7 Net Income * 634.0 470.2 163.8 *: Represents record re
Slide 20: Dividend
Dividend Annual Dividend ! 36 yen per share <Year-end Dividend: 20 yen per share> +8 yen per share, Total Dividend Payout 125.8 billion yen ! Dividend Payout Ratio 19.8% (FY2002 21.6%) 20
Slide 21: Share Repurchase
Share Repurchase Amount Authorized for Repurchased Amount: Up to 600 billion yen or 170 million shares (for repurchases to be made between Jun ’02-Jun ’03) Repurchased Amount of Toyota Shares Amount: 453.4 billion yen, 154 million shares (aggregate amount for Jun ’02-Mar ’03) → over 90% of the autho
Slide 22: Changes in Share Ownership
Changes in Share Ownership Increase in shareholding by Trust, Shareholding VS Pension Fund, etc. by banks Increase in individual shareholders (reduction in stock unit in August 2000) [March 31, 2000] [March 31, 2003] Banks 32% Dramatic drop 15% 22
Slide 23: III. Prospects for FY2004 and Beyond
III. Prospects for FY2004 and Beyond 23
Slide 24: New Products, Logistics Policy
<1> New Products, Logistics Policy Japanese Market: Introduction of Lexus Brand & Reorganization of Sales Channels ⇒ Preparations for future changes (in market structure & customer values) Present After reorganization Toyota brand Lexus Development of new Lexus dealership (5 channels) (new) network
Slide 25: IMV Project
<2> IMV Project: Asian Market : Manufacturing & export base for pickups/multipurpose vehicles ⇒ Development of global manufacturing base and mutual distribution network (IMV Project starts in 2004) Thailand: Global manufacturing base Other Asian nations: Manufacturing bases for engines & main compon
Slide 26: Major Projects by Region
<3> Major Projects by Region <Europe> Increase Profitability - Strengthen brand - Expand local production <N. America> - Manufacturing / sales Strengthen Local Production collaboration - Reallocate production sites by platforms <China> - 6th Plant (Texas) Accommodate Rapid Market Expansion - Strengt
Slide 27: Next-generation Technology
<4> Next-generation Technology New Prius Environment Excitement 27
Slide 28: Toyota's Operation Prospects excluding Daihatsu and Hino
Toyota’s Operation Prospects excluding Daihatsu and Hino FY 2004 FY 2003 (03/4-04/3) (02/4-03/3) thousands of units thousands of units Automotive Japan 3,330 3,513 Production Overseas 2,450 2,215 Sales (Japan) 1,750 1,724 Exports 1,650 1,835 Sales (Overseas) 4,100 3,927 units units Housing Sales 3,6
Slide 29: FY2004 Unconsolidated Prospects
FY2004 Unconsolidated Prospects FY 2004 FY 2003 Changes (Apr'03-Mar'04) (Apr'02-Mar'03) (billions of yen) (billions of yen) (billions of yen) Net Sales 8,300.0 8,739.3 -439.3 Operating Income 620.0 861.3 -241.3 Ordinary Income 670.0 892.6 -222.6 Net Income 440.0 634.0 -194.0 Exchange Rate 115 yen/ 1
Slide 30: FY2004 Consolidated Prospects: Vehicle Unit Sales
FY2004 Consolidated Prospects: Vehicle Unit Sales (thousands of units) 6,246 6,260 (+14) 7,000 <6,400> 6,000 (- 90) 1,270 <1,320> 1,180 (+24) 5,000 776 <800> 800 4,000 (+18) 1,982 <2,000> 2,000 Other 3,000 Europe 2,000 N. America (+62) Japan 1,000 2,218 <2,280> 2,280 0 02/4-03/3 <Japan GAAP> 03/4-04
Slide 31: FY2004 Consolidated Prospects: Capital Expenditures
FY2004 Consolidated Prospects: Capital Expenditures Capital Depreciation R&D <US GAAP> Expenditures Expenses Expenses (billions of yen) (billions of yen) (billions of yen) (-123.5) (-8,1) (+18.4) Consolidated <910.0> 870.0 <770.0> 730.0 <690.0> 690.0 (-20.7) (-11.9) (Japan) <520.0> 515.0 <480.0> 460
Slide 32: FY2004 Consolidated Prospects: Cost Reduction
FY2004 Consolidated Prospects： Cost Reduction (billions of yen) 300 200 100 0 FY1999 FY2000 FY2001 FY2002 FY2003 FY2004 Prospect Parent Subsidiaries 32
Slide 33: Share Repurchase
Share Repurchase Authorized Amount up to 400 billion yen or up to 150 million shares (authorization valid from Annual General Shareholders’ Meeting ’03 through ’04) 33
Slide 34: Toyota Motor Corporation FY2003 Financial Results
Toyota Motor Corporation FY2003 Financial Results twelve months ended March 31, 2003 - prepared in accordance with Japan GAAP - May 8, 2003 34