Mazda Motor Corp. · TSE:7261
Mazda Motor — Q2 FY March 2024 Earnings Presentation
32 slides from Mazda Motor's earnings presentation, Nov 7, 2023
Slide 1: Financial Results for Fiscal Year March 2024 Second Quarter
FINANCIAL RESULTS FOR FISCAL YEAR MARCH 2024 SECOND QUARTER November 7, 2023 Mazda Motor Corporation M A Z DA M OTO R CO R PO RAT I O N
Slide 2: Presentation Outline
PRESENTATION OUTLINE ▪Financial Results Highlights ▪FY March 2024 First Half Results ▪FY March 2024 Full Year Forecast ▪Summary M A Z DA M OTO R CO R P ORAT I ON 2
Slide 3: Financial Results Highlights
FINANCIAL RESULTS HIGHLIGHTS M A Z DA M OTO R CO R P ORAT I ON 3
Slide 4: Financial Results Highlights
FINANCIAL RESULTS HIGHLIGHTS FY March 2024 First Half Results ￭ Achieved growth in both net sales and profits, and record highs for all profit items ￭ Net sales ¥2,317.3 billion, operating income ¥129.6 billion, and net income ¥108.1 billion ￭ Product mix (CX-90, etc.), market mix (North America), i
Slide 5: First Half Results
FY MARCH 2024 FIRST HALF RESULTS M A Z DA M OTO R CO R P ORAT I ON 5
Slide 6: First Half Volume Results
FY MARCH 2024 FIRST HALF VOLUME RESULTS (Thousand Units) FY March 2023 FY March 2024 Change from Prior Year 1st Half 1st Half 1st Half Production Volume* 503 593 +90 +18% Global Sales Volume Japan 68 82 +14 +20% North America 181 251 +70 +39% Europe 67 90 +23 +34% China 49 45 -4 -8% Other Markets 15
Slide 7: First Half Financial Metrics
FY MARCH 2024 FIRST HALF FINANCIAL METRICS (Billion Yen) FY March 2023 FY March 2024 Change from Prior Year 1st Half 1st Half 1st Half Consolidated Wholesales (Thousand Units) 450 588 +138 +31% Net Sales 1,642.5 2,317.3 +674.8 +41% Operating Income 55.2 129.6 +74.4 +135% Ordinary Income 110.4 179.2
Slide 8: Change in First Half Operating Income
CHANGE IN FY MARCH 2024 FIRST HALF OPERATING INCOME (vs. FY MARCH 2023 FIRST HALF) ·Increase in quality-related costs ·Increase in wholesale volume by +138,000 units ·Strengthened marketing investment for introduction of new products ·Increase in sales of Large products (Billion Yen) Cost ·Enhanceme
Slide 9: Full Year Forecast
FY MARCH 2024 FULL YEAR FORECAST M A Z DA M OTO R CO R P ORAT I ON 9
Slide 10: Full Year Volume Forecast
FY MARCH 2024 FULL YEAR VOLUME FORECAST Change from (Thousand Units) FY March 2023 FY March 2024 Change from Prior Year May Forecast Full Year Full Year Full Year Full Year Global Sales Volume Japan 165 176 +12 +7% -7 North America 407 537 +131 +32% +41 Europe 160 193 +33 +20% +4 China 84 91 +7 +8%
Slide 11: Full Year Financial Metrics
FY MARCH 2024 FULL YEAR FINANCIAL METRICS Change from (Billion Yen) FY March 2023 FY March 2024 Change from Prior Year May Forecast Full Year Full Year Full Year Full Year Consolidated Wholesales (Thousand Units) 1,059 1,220 +161 +15% +20 Net Sales 3,826.8 4,800.0 +973.2 +25% +300.0 Operating Income
Slide 12: Change in Full Year Operating Income
CHANGE IN FY MARCH 2024 FULL YEAR OPERATING INCOME (vs. FY MARCH 2023 FULL YEAR) ·Increase in wholesale volume ·Investments in people by +161,000 units ·Strengthened marketing investment for ·Improvement in Foreign introduction of new products per-unit price, etc. Exchange Cost ·Enhancement of R&D,
Slide 13: Change in Full Year Operating Income (vs. May Forecast)
CHANGE IN FY MARCH 2024 FULL YEAR OPERATING INCOME (vs. MAY FORECAST) ·Increase in quality-related costs in the first quarter ·Increase in wholesale volume (Billion Yen) by +20,000 units ·Strengthened marketing investment for ·Improvement in Foreign Raw Material, Cost introduction of new products, e
Slide 14: Measures to Further Improve Returns & Business Efficiency
MEASURES TO FURTHER IMPROVE RETURNS & BUSINESS EFFICIENCY Accelerate: Promote speed-oriented management ￭ Leverage data innovation, transform management processes, and quickly translate environmental changes into measures ￭ Establish an organization to promote electrification and new value creation
Slide 15: Summary
SUMMARY M A Z DA M OTO R CO R P ORAT I ON 15
Slide 16: Progress of Important Medium-Term Initiatives
PROGRESS OF IMPORTANT MEDIUM-TERM INITIATIVES Acceleration of electrification ▪ Appointed an officer in charge of electrification promotion and established the Electrification Business Division. Centralizing resources required for electrification to accelerate our efforts ▪ Developing concrete actio
Slide 17: M A Z DA M OTO R CO R P ORAT I ON
M A Z DA M OTO R CO R P ORAT I ON 17
Slide 18: Slide 18
Slide 19: Appendix
APPENDIX M A Z DA M OTO R CO R P ORAT I ON 19
Slide 20: Japan
JAPAN ￭ 82,000 units sold, up 20% year on year MAZDA CX-60 ￭ CX-60 and CX-8 contributed to sales growth ￭ Announcement of product upgrades of key models in Japan from August onwards, with expectations of contribution to sales from the third quarter onwards First Half Sales Volume & Market Share ￭ St
Slide 21: North America
NORTH AMERICA ￭ USA: MAZDA CX-90 - 184,000 units sold, up 38% year on year - In addition to sales growth of the CX-5 and CX-30, increased supply of CX-50 following the start of second shift operation in the Alabama plant and CX-90 launch in April contributed to sales growth - Market share was 2.3%,
Slide 22: Europe
EUROPE ￭ 90,000 units sold, up 34% year on year MAZDA CX-60 CX-60 and CX-5 contributed to sales volume growth ￭ Sales of the CX-60 in the second quarter reached 7,000 units. Strong sales continued, especially for plug-in hybrid models First Half Sales Volume & Market Share ￭ Market share was 1.1%, u
Slide 23: China
CHINA ￭ 45,000 units sold, down 8% year on year ￭ Market share was 0.3%, down 0.1 points year on year ￭ Sales in the second quarter were 26,000 units, First Half Sales Volume & up 1% year on year. Sales of the Mazda3 and Market Share CX-50, which was launched in late May, (Thousand units) 0.4% incre
Slide 24: Other Markets
OTHER MARKETS ￭ 148,000 units sold, down 1% year on year ￭ Australia: ⁃ 50,000 units sold, up 13% year on year CX-3 and BT-50 drove sales volume growth ⁃ CX-60 and CX-90 sales launched in the second MAZDA CX-60 quarter ⁃ CX-60 sales, which started in July, contributed to First Half Sales Volume & Au
Slide 25: Production Volume
PRODUCTION VOLUME FY March 2023 FY March 2024 FY March 2024 Continue to produce 100,000 units Fourth Quarter First Quarter Second Quarter a month to achieve full-year 326,000 units 284,000 units 309,000 units consolidated wholesales volume forecast of 1.22 million units Production 124 Due to fewer 1
Slide 26: Cash Flow and Net Cash
CASH FLOW AND NET CASH Change from (Billion Yen) FY March 2023 FY March 2024 Prior FY End Full Year 1st Half Cash Flow from Operating Activities 137.4 165.1 - Cash Flow from Investing Activities -99.4 -55.8 - Free Cash Flow 38.0 109.3 - Cash and Cash Equivalents 717.1 781.2 +64.1 Interest-bearing De
Slide 27: Second Quarter Volume Results
FY MARCH 2024 SECOND QUARTER VOLUME RESULTS (Thousand Units) FY March 2023 FY March 2024 Change from Prior Year 2nd Quarter 2nd Quarter 2nd Quarter Production Volume* 294 309 +15 +5% Global Sales Volume Japan 43 39 -4 -8% North America 101 123 +22 +22% Europe 37 46 +9 +25% China 25 26 0 +1% Other Ma
Slide 28: Second Quarter Financial Metrics
FY MARCH 2024 SECOND QUARTER FINANCIAL METRICS (Billion Yen) FY March 2023 FY March 2024 Change from Prior Year 2nd Quarter 2nd Quarter 2nd Quarter Consolidated Wholesales (Thousand Units) 284 302 +18 +6% Net Sales 1,025.3 1,226.3 +201.0 +20% Operating Income 74.7 99.6 +24.9 +33% Ordinary Income 89.
Slide 29: Change in Second Quarter Operating Income
CHANGE IN FY MARCH 2024 SECOND QUARTER OPERATING INCOME (vs. FY MARCH 2023 2nd QUARTER) (Billion Yen) ·Increase in wholesale volume by ·Enhancement of R&D +18,000 units ·Strengthened marketing investment for ·Increase in sales of Large introduction of new products, etc. products Foreign Cost Volume
Slide 30: Exchange Rate
EXCHANGE RATE Change from (Yen) FY March 2024 Change from Prior Year May Forecast 1st Half 2nd Half Full Year 1st Half 2nd Half Full Year Full Year US Dollar 141 139 140 +7 +2 +5 +12 Euro 153 148 151 +15 +5 +10 +12 Canadian Dollar 105 103 104 +1 +2 +1 +7 Australian Dollar 93 89 91 0 -2 -1 +2 British
Slide 31: Dividend Payment
DIVIDEND PAYMENT Dividends Per Share (Yen) Interim Dividend 50 Year-end Dividend 45 35 35 35 35 25 30 25 20 20 20 20 15 20 10 25 20 20 15 15 15 15 15 1 10 0 FY March 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 Results Plan Note: A share consolidation of common stock was implemented at a r
Slide 32: Disclaimer
DISCLAIMER The projections and future strategies shown in this presentation are based on various uncertainties including but not limited to conditions of the world economy in the future, trends in the automotive industry, and the risk of exchange rate fluctuations. Consequently, Mazda's actual perfo