Subaru Corporation · TSE:7270
Subaru — Fuji Heavy Industries — FY2013 Earnings Presentation
38 slides from Subaru's earnings presentation, May 9, 2014
Slide 1: Executive Vice President & CFO, Mitsuru Takahashi
Executive Vice President & CFO, Mitsuru Takahashi Fuji Heavy Industries Ltd. May 9, 2014 http://www.fhi.co.jp/english/ir/index.html 0 0
Slide 2: Summary
Summary Financial results full year for the FYE March 2014 Due to healthy sales of Forester and Impreza, consolidated automobile sales set an all-time records for 2nd straight year of 825k units for a fiscal year period. In addition to gain on currency exchange, improvement in sales volume & mix
Slide 3: Business results of the FYE March 2014
Business results of the FYE March 2014 http://www.fhi.co.jp/english/ir/index.html 2 2
Slide 4: Full year: Consolidated Automobile Units
Full year : Consolidated Automobile Units （Thousand Units） Actual results Actual results Increase FYE 2013 FYE 2014 / decrease Passenger cars 112.8 126.1 +13.4 Minicars 50.4 55.5 +5.1 Domestic total 163.1 181.6 +18.5 U.S. 357.6 441.8 +84.2 Canada 32.6 36.0 +3.4 Russia 14.7 15.3 +0.6 Europe 46.4 31.8
Slide 5: Full year: Consolidated Income Statements
Full year : Consolidated Income Statements （100 Million Yen） Actual results Actual results Increase FYE 2013 FYE 2014 / decrease Net sales 19,130 24,081 +4,952 Domestic 6,718 6,721 +2 Overseas 12,411 17,361 +4,949 Operating income 1,204 3,265 +2,061 Total non-operating -198 -121 +78 income & expense
Slide 6: Analysis of Increase and Decrease in Operating Income
Full year : Analysis of Increase and Decrease in Operating Income Changes (consolidated) （100 Million Yen） Improvement of sales US$ : +1,567 volume & Increase of fixed cost EURO : +49 mixture Cost reduction Increase of SG&A expenses CA$ : +74 Gain on Decrease of warranty claims expenses and others C
Slide 7: Consolidated Balance Sheets
Consolidated Balance Sheets （100 Million Yen） Increase / As of Mar. 2013 As of Mar. 2014 decrease Total assets 15,775 18,883 +3,109 Current assets 9,440 12,738 +3,297 Noncurrent assets 6,334 6,146 -188 Interest bearing 3,072 2,697 -375 debts Net assets 5,968 7,701 +1,733 Retained earnings 3,014 4,83
Slide 8: Full year: Consolidated Statement of Cash Flows
Full year : Consolidated Statement of Cash Flows （100 Million Yen） Actual results Actual results Increase FYE 2013 FYE 2014 / decrease Net cash provided by (used in) operating activities 1,667 3,130 +1,463 Net cash provided by (used in) investing activities -714 -339 +375 Free cash flows 953 2,791 +
Slide 9: Operating Results of Subsidiaries in U.S. (SOA, SIA)
Full year : Operating Results of Subsidiaries in U.S. （Million US$） Actual results Actual results Increase SOA FYE 2013 FYE 2014 / decrease Net sales 8,805 11,005 +2,200 Operating income 133 184 +51 Net income 97 111 +14 Retail sales (Thousand units) 347.1 442.3 +95.2 Actual results Actual results I
Slide 10: Outlook for the term Ending March 2015
Outlook for the term Ending March 2015 http://www.fhi.co.jp/english/ir/index.html 9 9
Slide 11: Full Year: Consolidated Automobile Sales Plan
Full Year : Consolidated Automobile Sales Plan （Thousand Units） Actual results Plan Increase FYE 2014 FYE 2015 / decrease Passenger cars 126.1 143.7 +17.6 Minicars 55.5 51.2 -4.3 Domestic total 181.6 194.9 +13.3 U.S. 441.8 490.2 +48.4 Canada 36.0 40.4 +4.4 Russia 15.3 19.3 +4.0 Europe 31.8 40.3 +8.5
Slide 12: Full Year: Consolidated Operating Plan
Full Year : Consolidated Operating Plan （100 Million Yen） Actual results Plan Increase FYE 2014 FYE 2015 / decrease Net sales 24,081 27,200 +3,119 Domestic 6,721 7,032 +312 Overseas 17,361 20,168 +2,807 Operating income 3,265 3,400 +135 Ordinary income 3,144 3,300 +156 Income before taxes and minori
Slide 13: Analysis of Increase and Decrease in Operating Income Changes
Analysis of Increase and Decrease in Operating Income Changes (consolidated) Improvement of sales （100 Million Yen） volume & Increase of fixed cost mixture and Increase of SG&A expenses Cost reduction Decrease of warranty claims expenses others +920 +70 US$ : +46 EURO : +5 CA$ : -30 CNY : +2 Currenc
Slide 14: Operating Plan of Subsidiaries in U.S. (SOA, SIA)
Full Year : Operating Plan of Subsidiaries in U.S. （Million US$） Actual results Plan Increase SOA FYE 2014 FYE 2015 / decrease Net sales 11,005 12,508 +1,503 Operating income 184 345 +161 Net income 111 202 +91 Retail sales (Thousand units) 442.3 470.0 +27.7 Actual results Plan Increase SIA FYE 2014
Slide 15: Capex / Depreciation / R&D / Interest bearing debt
Capex / Depreciation / R&D / Interest bearing debt （100 Million Yen） Actual results Actual results Plan Increase FYE 2013 FYE 2014 FYE2015 / decrease (a) (b) (b) - (a) Capex 702 685 1,200 +515 Depreciation 559 549 660 +111 R&D 491 601 740 +139 Interest bearing debt 3,072 2,697 2,400 -297 http://www.
Slide 16: Appendix (1)
Appendix (1) ・ Non-operating income & expenses and extraordinary ・Non-operating income & loss ・ Segment information (by Business / Geographic) ・Segment ・ Overseas net sales ・Overseas ・ Non-consolidated automobile sales ・Non-consolidated ・ 4th quarter (3 months), consolidated statements income ・4th ・
Slide 17: Non-Operating Income & Expenses and Extraordinary Income & Loss
Full year : Non-Operating Income & Expenses and Extraordinary Income & Loss (Consolidated) （100 Million Yen） Actual results Actual results Increase FYE 2013 FYE 2014 / decrease Financial revenue and expenditure -7 1 +8 FOREX effects -172 -95 +77 Other -19 -27 -8 Total non-operating -198 -121 +78 inc
Slide 18: Net Sales and Operating Income by Business Segment
Full year : Net Sales and Operating Income by Business Segment (consolidated) （100 Million Yen） Net sales Operating income Actual Actual Actual Actual Increase / Increase / Results Results Results Results Decrease Decrease FYE 2013 FYE 2014 FYE 2013 FYE 2014 Automobile 17,790 22,466 +4,677 1,110 3,0
Slide 19: Consolidated Operating Income by Geographic Area
Full year : Consolidated Operating Income by Geographic Area （100 Million Yen） Net sales Operating income Actual Actual Actual Actual Increase / Increase / Results Results Results Results Decrease Decrease FYE 2013 FYE 2014 FYE 2013 FYE 2014 Japan 9,131 9,674 +543 1,114 2,823 +1,709 North America 8,
Slide 20: Overseas Net Sales
Full year : Overseas Net Sales （100 Million Yen） Actual results Actual results Increase FYE 2013 FYE 2014 / decrease North America 8,960 13,228 +4,268 Europe 1,272 1,347 +75 Asia 1,132 1,544 +412 Other 1,047 1,242 +195 Total 12,411 17,361 +4,949 http://www.fhi.co.jp/english/ir/index.html 19 19
Slide 21: Non-Consolidated Automobiles Units
Full year : Non-Consolidated Automobiles Units （Thousand Units） Actual results Actual results Increase FYE 2013 FYE 2014 / decrease Domestic production 583.1 649.9 +66.8 Domestic sales 166.7 185.8 +19.1 Passenger cars 116.3 128.1 +11.7 Minicars 50.4 57.8 +7.4 Number of vehicles 384.0 499.2 +115.2 ex
Slide 22: 4th Quarter: Consolidated Automobile Units
4th Quarter : Consolidated Automobile Units （Thousand Units） Actual results Actual results Increase Q4 FYE 2013 Q4 FYE 2014 / decrease Passenger cars 35.9 39.3 +3.4 Minicars 15.7 18.5 +2.7 Domestic total 51.6 57.7 +6.2 U.S. 98.2 115.4 +17.2 Canada 9.0 8.8 -0.2 Russia 1.5 5.8 +4.4 Europe 11.5 8.3 -3.
Slide 23: 4th Quarter: Consolidated Income Statements
4th Quarter : Consolidated Income Statements （100 Million Yen） Actual results Actual results Increase Q4 FYE 2013 Q4 FYE 2014 / decrease Net sales 5,422 6,996 +1,574 Domestic 1,895 1,933 +38 Overseas 3,527 5,063 +1,536 Operating income 470 931 +461 Ordinary income 372 930 +558 Income before taxes an
Slide 24: 4th Quarter: Analysis of Operating Income Changes
4th Quarter : Analysis of Increase and Decrease in Operating Income Changes (consolidated) （100 Million Yen） Gain on Increase of fixed cost currency Increase of SG&A expenses Improvement exchange Cost reduction Decrease of warranty claims expenses US$ : +297 of sales EURO : +14 CA$ : +3 volume & +27
Slide 25: Full Year: Consolidated Automobile Units Plan vs. Actual
Full Year : Consolidated Automobile Units Plan vs. Actual results （Thousand Units） Plan Actual results Increase FYE 2014 FYE 2014 / decrease Passenger cars 135.0 126.1 -8.9 Minicars 53.8 55.5 +1.7 Domestic total 188.8 181.6 -7.2 U.S. 439.8 441.8 +2.0 Canada 36.0 36.0 +0.0 Russia 15.4 15.3 -0.1 Europ
Slide 26: Full Year: Consolidated Income Statements Plan vs. Actual
Full Year : Consolidated Income Statements Plan vs. Actual results （100 Million Yen） Plan Actual results Increase FYE 2014 FYE 2014 / decrease Net sales 23,800 24,081 +281 Domestic 6,495 6,721 +226 Overseas 17,305 17,361 +56 Operating income 3,100 3,265 +165 Ordinary income 2,940 3,144 +204 Income b
Slide 27: Analysis of Operating Income Changes Plan vs. Actual
Full Year : Analysis of Increase and Decrease in Operating Income Changes Plan vs. Actual results （100 Million Yen） US$ : +70 Decrease of Improvement of sales EURO : +1 SG&A volume & mixture and FHI : -16 CA$ : -3 expenses others SIA : +3 CNY : -1 Currency and others +27 exchange adjustment : +15 Ga
Slide 28: 1st Half: Consolidated Automobile Sales Plan
1st Half : Consolidated Automobile Sales Plan （Thousand Units） Actual results Plan Increase 1H FYE 2014 1H FYE 2015 / decrease Passenger cars 61.7 70.5 +8.8 Minicars 25.6 22.6 -3.0 Domestic total 87.3 93.2 +5.8 U.S. 208.9 233.9 +25.0 Canada 18.7 21.7 +3.0 Russia 6.8 9.2 +2.4 Europe 15.3 18.4 +3.1 Au
Slide 29: 1st Half: Consolidated Operating Plan
1st Half : Consolidated Operating Plan （100 Million Yen） Actual results Plan Increase 1H FYE 2014 1H FYE 2015 / decrease Net sales 11,256 13,000 +1,744 Domestic 3,306 3,426 +120 Overseas 7,951 9,574 +1,623 Operating income 1,507 1,600 +93 Ordinary income 1,462 1,560 +98 Income before taxes and minor
Slide 30: 1st Half: Analysis of Operating Income Changes
1st Half : Analysis of Increase and Decrease in Operating Income Changes (consolidated) （100 Million Yen） Improvement of sales Gain on volume & currency Increase of fixed cost mixture and exchange Cost reduction Increase of SG&A expenses others Decrease of warranty claims expenses +47 +30 +473 US$ :
Slide 31: Appendix (2)
Appendix (2) ・ Net sales / Operating income ・Net ・ Consolidated automobile units / OPM ・Consolidated ・ Complete cars production / Retail units ・Complete ・ FCF / Shareholders ・FCF Shareholders’’ equity to total assets ・ Interest-bearing debt / D/E ratio ・Interest-bearing http://www.fhi.co.jp/english/
Slide 32: Net Sales & Operating Income
Net Sales & Operating Income Operating ¥83/$ ¥82/$ ¥79/$ ¥77/$ ¥78/$ ¥81/$ ¥79/$ ¥79/$ ¥89/$ ¥98/$ ¥98/$ ¥99/$ ¥103/$ Net Sales Income (100 million yen) （100 million yen) 6,996 7,000 1,000 931 Net sales Operating income 6,000 5,787 5,829 5,422 5,469 811 827 800 4,877 5,000 4,691 4,727 696 4,289 4,05
Slide 33: Consolidated Automobile Units & Operating Income Margin
Consolidated Automobile Units & Operating Income Margin Automobile sales (1,000 cars) OPM Automobile sales OPM 232 18% 208 198 202 201 200 191 15% 183 14.2% 178 169 166 166 14.0% 12.7% 13.3% 148 12% 150 118 9% 8.7% 100 6.4% 6% 5.5% 50 3.6% 2.4% 4.0% 2.3% 3.3% 3% 2.6% 0 0% 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q
Slide 34: Complete Cars Production & Retail Units
Complete Cars Production & Retail Units Units （1000 units) 250 Production Retail Units 228 211 213 212 210 211 207 196 196 197 195 197 200 191 193 182 178 172 177 162 167 158 147 150 150 138 136 111 100 50 0 Jan.- Apr.- Jul.- Oct.- Jan.- Apr.- Jul.- Oct.- Jan.- Apr.- Jul.- Oct.- Jan.- Mar. Jun. Sep.
Slide 35: Free Cash Flows & Shareholders' Equity to Total Assets
Free Cash Flows & Shareholders’ Equity to Total Assets FCF Shareholders’ （100 million yen) Equity to Total Assets 45% 2,900 2,791 FCF Shareholders' equity to total assets 42.6% 2,400 41.2% 2,094 1,900 40% 40.5% 39.9% 37.7% 1,400 1,198 35.2% 953 34.7% 900 34.2% 34.2% 35% 33.7% 33.7% 516 34.7% 33.3% 6
Slide 36: Interest-Bearing Debt & D/E Ratio
Interest-Bearing Debt & D/E Ratio Interest Bearing Debt D/E ratio (100 million yen) Interest bearing debt D/E ratio 4,500 3,965 3,866 1.4 4,000 3,688 3,410 3,381 1.2 3,500 3,306 3,301 3,236 3,072 2,967 2,918 3,000 0.91 2,760 2,697 1.0 0.89 0.85 2,500 0.76 0.8 0.80 0.74 0.69 2,000 0.64 0.6 0.52 1,500
Slide 37: Forward-looking statements
Forward-looking statements including projections and future strategies mentioned in this presentation are based on currently available information and assumptions and are subject to risks and uncertainties. Actual results may vary materially as a result of various factors including, without limitati
Slide 38: http://www.fhi.co.jp/english/ir/index.html
http://www.fhi.co.jp/english/ir/index.html 37 37