Mazda Motor Corp. · TSE:7261
Mazda Motor — Q3 FY March 2025 Earnings Presentation
34 slides from Mazda Motor's earnings presentation, Feb 7, 2025
Slide 1: Financial Results for Fiscal Year March 2025 Third Quarter
FINANCIAL RESULTS FOR FISCAL YEAR MARCH 2025 THIRD QUARTER MAZDA CX-50 HYBRID February 7, 2025 Mazda Motor Corporation M A Z DA M OTO R CO R PO RAT I O N
Slide 2: Presentation Outline
PRESENTATION OUTLINE ▪Summary of Financial Results and Forecast ▪Progress of Management Policy up to 2030 - Initiatives for Enhancing Corporate Value Note: Net income in this presentation indicates net income attributable to owners of the parent M A Z DA M OTO R CO R P ORAT I ON 2
Slide 3: Summary of Results and Forecast
SUMMARY OF RESULTS AND FORECAST ▪ FY March 2025 Nine Month Results ⁃ Global sales volume: 966,000 units/Net sales: ¥3,689.4 billion Operating income: ¥148.3 billion/Net income: ¥90.6 billion ⁃ Steady implementation of brand value management resulted in record high annual sales volume in the US and M
Slide 4: Nine Month Results
FY MARCH 2025 NINE MONTH RESULTS M A Z DA M OTO R CO R P ORAT I ON 4
Slide 5: Nine Month Volume Results
FY MARCH 2025 NINE MONTH VOLUME RESULTS (Thousand Units) FY March 2025 Change from Prior Year 1st Half 3rd Quarter Nine Month 1st Half 3rd Quarter Nine Month Production Volume* 603 307 909 +10 -28 -18 -2% Global Sales Volume Japan 64 38 102 -18 0 -18 -15% North America 304 159 464 +53 +30 +84 +22% E
Slide 6: Nine Month Financial Metrics
FY MARCH 2025 NINE MONTH FINANCIAL METRICS (Billion Yen) FY March 2025 Change from Prior Year 1st Half 3rd Quarter Nine Month 1st Half 3rd Quarter Nine Month Consolidated Wholesales 590 312 902 +2 +12 +14 +2% (Thousand Units) Net Sales 2,393.9 1,295.5 3,689.4 +76.6 +46.3 +122.9 +3% Operating Income
Slide 7: Cash Flow and Net Cash
CASH FLOW AND NET CASH (Billion Yen) FY March 2024 FY March 2025 Nine Month Nine Month Cash Flow from Operating Activities 210.0 143.5 Cash Flow from Investing Activities -89.3 -70.4 Free Cash Flow 120.7 73.1 (Billion Yen) FY March 2024 FY March 2025 Change from FY End 3rd Quarter End Prior FY End C
Slide 8: Change in Nine Month Operating Income
CHANGE IN FY MARCH 2025 NINE MONTH OPERATING INCOME (vs. FY MARCH 2024 NINE MONTH) Volume & (Billion Yen) Mix Sales +34.1 Incentives Foreign 200.2 Exchange Raw Material, Cost +53.9 Logistics Costs, etc. Improvement Fixed Costs, +13.9 Other 148.3 -28.3 -21.2 -104.3 FY March FY March 2024 Change from
Slide 9: Growth in North American Business
GROWTH IN NORTH AMERICAN BUSINESS ▪ Strong business growth continued due to brand value management initiatives in the North American market. Strengthening of sales network with a focus on customer experience progressed in Canada and Mexico in addition to the US ▪ Sales volume growth was accelerated
Slide 10: US Business Qualitative and Quantitative Growth
US BUSINESS QUALITATIVE AND QUANTITATIVE GROWTH ▪ Mazda succeeded in curbing sales expenses from the third quarter onwards after expenses peaked in September. Achieved successful control through the introduction of the CX-50 hybrid and strengthening product appeal at the time of model year changes ▪
Slide 11: Full Year Forecast
FY MARCH 2025 FULL YEAR FORECAST M A Z DA M OTO R CO R P ORAT I ON 11
Slide 12: Full Year Volume Forecast
FY MARCH 2025 FULL YEAR VOLUME FORECAST Change from (Thousand Units) FY March 2024 FY March 2025 Change from Prior Year November Forecast Full Year Full Year Full Year Full Year Global Sales Volume Japan 160 150 -10 -6% 0 North America 514 605 +91 +18% 0 Europe 180 183 +3 +2% 0 China 97 78 -19 -20%
Slide 13: Full Year Financial Metrics
FY MARCH 2025 FULL YEAR FINANCIAL METRICS Change from (Billion Yen) FY March 2024 FY March 2025 Change from Prior Year November Forecast Full Year Full Year Full Year Full Year Consolidated Wholesales 1,202 1,250 +48 +4% 0 (Thousand Units) Net Sales 4,827.7 5,000.0 +172.3 +4% 0 Operating Income 250.
Slide 14: Change in Operating Income (vs. November Forecast)
CHANGE IN FY MARCH 2025 OPERATING INCOME (vs. NOVEMBER FORECAST) (Billion Yen) Fixed Costs, Foreign Raw Material, Cost Volume & Other 200.0 Exchange Logistics Costs, etc. Improvement 200.0 Mix Sales +10.0 Incentives +13.0 0.0 0.0 -16.0 -7.0 November Change from Forecast in November 0.0 February Fore
Slide 15: Change in Operating Income (vs. FY March 2024)
CHANGE IN FY MARCH 2025 OPERATING INCOME (vs. FY MARCH 2024) (Billion Yen) Volume & Mix Sales +72.6 Incentives Foreign Exchange Raw Material, Cost 250.5 +47.8 Logistics Costs, etc. Improvement Fixed Costs, +25.0 Other 200.0 -124.4 -45.5 -26.0 FY March Change from Prior Year -50.5 FY March 2024 2025
Slide 16: Progress of Management Policy up to 2030
PROGRESS OF MANAGEMENT POLICY UP TO 2030 - INITIATIVES FOR ENHANCING CORPORATE VALUE M A Z DA M OTO R CO R P ORAT I ON 16
Slide 17: Cost Reduction Initiatives
COST REDUCTION INITIATIVES ▪ In preparation for future changes in the environment, conduct a zero-based cost review of the entire supply chain for both fixed and variable costs. While improving vehicle earnings ratio, reduce fixed costs and lower the break-even point ▪ Drastically review cost planni
Slide 18: Top-Line Growth: Large Product Group
TOP-LINE GROWTH: LARGE PRODUCT GROUP ▪ Mazda introduced the CX-70 and CX-80 this fiscal year ▪ The models come with electrification technologies including plug-in hybrid and have high environmental and safety performance Received high safety ratings (US IIHS, Euro NCAP) in each country ◼ The third i
Slide 19: Expansion of the Electric Model Lineup: Leveraging Alliances
EXPANSION OF THE ELECTRIC MODEL LINEUP: LEVERAGING ALLIANCES ▪ Maximize use of alliances with partner companies and introduce electrified models that meet market needs ▪ Efficiently respond to stricter environmental regulations while delivering the joy of driving unique to Mazda ◼ Utilizing Toyota's
Slide 20: Establishment of a Battery EV Production System
ESTABLISHMENT OF A BATTERY EV PRODUCTION SYSTEM ▪ Mazda will build in Iwakuni, Yamaguchi Prefecture a new module pack plant for battery cells to be procured from Panasonic Energy ▪ The plant will have an annual production capacity of 10 GWh and is scheduled to start operations in FY2027 ▪ The batter
Slide 21: Closing
CLOSING ▪ Realized growth in North American business as planned through the implementation of brand value management and dramatic improvement in the CX-50 and Large products. Continued customer-focused brand value improvement and strengthening of sales network ▪ FY March 2025 full year profit foreca
Slide 22: Slide 22
Slide 23: Appendix
APPENDIX M A Z DA M OTO R CO R P ORAT I ON 23
Slide 24: Japan
JAPAN ▪102,000 units were sold, down 15% year on year ▪Sales declined mainly due to the discontinuation of CX-8 production ▪In December 2024, Mazda announced Roadster upgrades and a 35th anniversary model, and also launched new models of the Mazda2, Mazda3, Nine Month Sales Volume & CX-30 and CX-5.
Slide 25: North America
NORTH AMERICA ▪ 464,000 units were sold, up 22% year on year MAZDA CX-50 ▪ USA: - 324,000 units were sold, up 18% year on year. Market share was 2.6%, up 0.3 points year on year - Achieved record-high sales volume for the nine months. CX-50 and CX-90 drove sales growth - Reduced sales expenses by en
Slide 26: Europe
EUROPE ▪130,000 units were sold, down 4% year on year MAZDA CX-80 ▪Market share was 1.1%, on par with the prior year ▪Sales in key countries - Germany: 34,000 units, down 2% year on year - UK: 21,000 units, down 4% year on year Nine Month Sales Volume & ▪Sales of CX-80 started in October. Solid sale
Slide 27: China
CHINA ▪58,000 units were sold, down 20% year on year ▪Market share declined by 0.1 points year on year to 0.2% ▪Sales volume declined as demand for internal combustion engine vehicles fell MAZDA EZ-6 ▪The Mazda EZ-6, a dedicated electrified model Nine Month Sales Volume & with two electric power uni
Slide 28: Other Markets
OTHER MARKETS ▪ 213,000 units were sold, down 4% year on year MAZDA CX-80 ▪ Australia: - 72,000 units were sold, down 3% year on year - Sales declined due to discontinued production of the CX-9 and CX-8 and the impact of difficulties in securing orders for some models - CX-3 sales volume hit a recor
Slide 29: Third Quarter Volume Results
FY MARCH 2025 THIRD QUARTER VOLUME RESULTS (Thousand Units) FY March 2024 FY March 2025 Change from Prior Year 3rd Quarter 3rd Quarter 3rd Quarter Production Volume* 335 307 -28 -8% Global Sales Volume Japan 39 38 0 -1% North America 129 159 +30 +24% Europe 45 41 -4 -8% China 28 24 -4 -15% Other Mar
Slide 30: Third Quarter Financial Metrics
FY MARCH 2025 THIRD QUARTER FINANCIAL METRICS (Billion Yen) FY March 2024 FY March 2025 Change from Prior Year 3rd Quarter 3rd Quarter 3rd Quarter Consolidated Wholesales 300 312 +12 +4% (Thousand Units) Net Sales 1,249.2 1,295.5 +46.3 +4% Operating Income 70.6 45.3 -25.3 -36% Ordinary Income 59.8 7
Slide 31: Change in Third Quarter Operating Income
CHANGE IN FY MARCH 2025 THIRD QUARTER OPERATING INCOME (vs. FY MARCH 2024 THIRD QUARTER) (Billion Yen) Volume & Mix Sales 70.6 +2.1 Incentives Foreign Exchange Raw Material, Cost +1.7 Logistics Costs, etc. Improvement Fixed Costs, +5.7 Other 45.3 -20.1 -12.6 -2.1 FY March FY March Change from Prior
Slide 32: Dividend Payment
DIVIDEND PAYMENT Dividends Per Share (Yen) Interim Dividend Year-end Dividend 60 Special Dividend 5 55 45 30 30 35 35 35 35 (Forecast) 30 25 20 20 20 20 15 20 10 25 25 20 20 15 15 15 15 15 0 (FY March) 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 M A Z DA M OTO R CO R P ORAT I ON 32
Slide 33: Exchange Rates (Average for the Term)
EXCHANGE RATES (AVERAGE FOR THE TERM) Change from (Yen) FY March 2025 Change from Prior Year November Forecast 1Q 2Q 3Q Full Year 1Q 2Q 3Q Full Year Full Year US Dollar 156 150 152 153 +18 +5 +5 +8 +4 Euro 168 164 163 164 +18 +7 +4 +7 +1 Canadian Dollar 114 110 109 110 +11 +2 0 +3 +1 Australian Doll
Slide 34: 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