Honda Motor Co., Ltd. · TSE:7267
Honda Motor — FY2023 Earnings Presentation
29 slides from Honda Motor's earnings presentation, May 12, 2023
Slide 1: Notice of Amendment of the Presentation of Consolidated Financial Results
Notice of Amendment of the Presentation of Consolidated Financial Results for the Fiscal Year Ended March 31, 2023 Honda Motor Co., Ltd. (the “Company”) released on its website today the amendment of the presentation of consolidated financial results for the fiscal year ended March 31, 2023 released
Slide 2: FY23 Financial Results
FY23 Financial Results M ay 1 1 , 2 0 2 3 2
Slide 3: Contents
Contents • Outline of FY23 Financial Results and FY24 Financial Forecasts • Financial Results and Forecasts • FY23 Financial Results • FY24 Financial Forecast 3
Slide 4: Summary: Progress made in strengthening earnings structure
Summary ～Progress made in strengthening earnings structure～ *Announced on Feb 10th FY23 Results FY24 Forecast FY26 Target Resource allocation Automobile 3.69million units 4.35million units for electrification Group Unit Sales Previous Forecast* Operating Margin 3.85million units １trillion yen 7.0% o
Slide 5: Main Market (Automobiles)
Main Market (Automobiles) Main Countries Retail ■Sales Results in FY23 Unit vs. FY22 YTD: Lower than last year mainly due to the impact YTD（ Apr. - Mar. ） （thousand） （％） of COVID-19 in China and the semiconductor supply shortage. Japan 561 98.0 QTD: With the gradual improvement in the semiconductor
Slide 6: Main Market (Motorcycles)
Main Market (Motorcycles) Main Countries Wholesale ■Sales Results in FY23 Unit vs. FY22 YTD: Exceeded last year. YTD（ Apr. - Mar. ） (thousand) (%) QTD: Exceeded the same period last year. India 4,025 116.0 In India and Vietnam, lower than the same period last year. Vietnam 2,407 116.3 In Indonesia,
Slide 7: Outline of FY23 Financial Results (Consolidated)
Outline of FY23 Financial Results (Consolidated) Operating Despite mounting headwinds such as a decrease in automobile units of production and profit : sales due to the impact of COVID-19 in China and the semiconductor supply shortage, an increase in production costs due to higher raw material costs
Slide 8: FY24 Financial Forecast (Consolidated)
FY24 Financial Forecast (Consolidated) Operating Despite a rise in cost of production mainly due to the impact of inflation, profit : as well as the impact of yen appreciation, strive to achieve a record high of 1 trillion yen. This was primarily due to the continuous implementation of pricing that
Slide 9: Dividends and Acquisition of Company's Own Shares
Dividends and Acquisition of Company’s Own Shares <Dividends> FY23 Dividend per Share FY24 (Previous FY23 (Yen) (Expectation) forecast) * Interim Dividend 60 60 (75) Year-end Dividend 60 60 (75) Fiscal Year 120 120 (150) *（ ）：Expected value <Acquisition of the Company’s Own Shares> Purpose : Improvi
Slide 10: Contents
Contents • Outline of FY23 Financial Results and FY24 Financial Forecasts • Financial Results and Forecasts • FY23 Financial Results • FY24 Financial Forecast 10
Slide 11: FY23 Results: Honda Unit Sales
FY23 Results: Honda Unit Sales Unit (thousand) Motorcycles Automobiles Power Products Honda Group Unit FY22 FY23 Change FY22 FY23 Change FY22 FY23 Change Sales Japan 244 246 +2 547 550 +3 353 376 + 23 North 437 459 + 22 1,283 1,195 - 88 2,738 2,274 - 464 America Europe 317 347 + 30 100 84 - 16 1,189
Slide 12: FY23 Results: Change in Profit before Income Taxes
FY23 Results: Change in Profit before Income Taxes Yen (billion) Profit before Income Taxes - 190.6 ( - 17.8 %) Operating Profit - 90.4 ( - 10.4 %) 1,070.1 - 109.1 - 27.4 + 295.9 - 85.0 - 191.2 - 15.0 879.5 Sales Price/Cost impacts Profit of Other *1 impacts - 58.5 equity method Expenses *2 R&D Curr
Slide 13: FY23 Results: Sales Revenue/Operating Profit by Business Segment
FY23 Results: Sales Revenue/Operating Profit by Business Segment upper：FY23 Motorcyle Automobile Financial Services Power Products and lower：FY22 Business Business Business Other Businesses Unit (thousand) 18,757 3,687 - 5,645 Honda Group (12,161) (2,382) - (5,645) Unit Sales (Consolidated Unit Sale
Slide 14: Cash Flows of Non-financial Services Businesses
Cash Flows of Non-financial Services Businesses Yen (billion) Twelve Months FY22 FY23 Cash flows from operating activities + 1,051.8 + 1,352.7 Cash flows from investing activities - 373.6 - 666.9 Free cash flow + 678.1 + 685.8 Cash flows from financing activities - 81.8 - 564.8 Effects of exchange r
Slide 15: Contents
Contents • Outline of FY23 Financial Results and FY24 Financial Forecasts • Financial Results and Forecasts • FY23 Financial Results • FY24 Financial Forecast 15
Slide 16: FY24 Forecast: Honda Unit Sales
FY24 Forecast: Honda Unit Sales Unit (thousand) Motorcycles Automobiles Power Products Honda Group FY23 FY24 FY23 FY24 FY23 FY24 Change Change Change Unit Sales Results Forecast Results Forecast Results Forecast Japan 246 270 + 24 550 555 +5 376 340 - 36 North 459 470 + 11 1,195 1,645 + 450 2,274 1,
Slide 17: FY24 Forecast: Change in Profit before Income Taxes
FY24 Forecast: Change in Profit before Income Taxes Yen (billion) Profit before Income Taxes + 305.4 ( + 34.7 % ) Operating Profit + 219.2 ( + 28.1 % ) + 265.0 - 158.4 - 60.0 - 268.0 + 440.6 Expenses Price/Cost *2 R&D + 67.5 + 18.6 1,185.0 impacts Other Currency 879.5 effects Profit of equity method
Slide 18: FY24 Forecast: Capital Expenditures/Depreciation/R&D
FY24 Forecast: Capital Expenditures/Depreciation/R&D FY23 FY24 Change Yen (billion) Results Forecast 493.9 400.0 - 93.9 *1 Capital expenditures *1 Depreciation and amortization 439.3 445.0 + 5.6 Research and development *2 expenditures 852.0 980.0 + 127.9 *1 Capital expenditures as well as depreciat
Slide 19: Caution with Respect to Forward-Looking Statements
Caution with Respect to Forward-Looking Statements: This slide contains forward-looking statements about the performance of Honda, which are based on management’s assumptions and beliefs taking into account information currently available to it. Therefore, please be advised that Honda’s actual resul
Slide 20: HONDA How we move you.
HONDA How we move you. The Power of Dreams CREATE » TRANSCEND, AUGMENT
Slide 21: Appendix
Appendix
Slide 22: FY23 4th Qtr Financial Results (Consolidated)
FY23 4th Qtr Financial Results (Consolidated） Unit (thousand) Honda Group QTD Unit Sales Motorcycles Increase from the same period last year due FY22 FY23 Change mainly to an increase in Indonesia. (Consolidated Unit Sales) Results Results 4,252 4,472 + 5.2% Motorcycles Decrease from the same period
Slide 23: FY23 4th Qtr Results: Change in Profit before Income Taxes
FY23 4th Qtr Results: Change in Profit before Income Taxes Yen (billion) Profit before Income Taxes - 204.7 ( - 91.0 % ) Operating Profit - 152.7 ( - 76.5 % ) 224.9 - 12.0 - 10.3 - 125.5 Sales impacts Price/Cost *1 impacts - 46.9 + 42.1 - 76.9 Expenses *2 R&D Currency + 24.9 20.1 effects *3 Operatin
Slide 24: FY23 4th Qtr Results: Sales Revenue/Operating Profit by Business Segment
FY23 4th Qtr Results: Sales Revenue/Operating Profit by Business Segment upper：FY23 Motorcyle Automobile Financial Services Power Products and lower：FY22 Business Business Business Other Businesses Unit (thousand) 4,472 947 - 1,524 Honda Group (2,591) (670) - (1,524) Unit Sales 4,252 1,074 - 1,700 (
Slide 25: Change in Sales Revenue
Change in Sales Revenue (Sales revenue from external customers) Yen (billion) Three Months compared with FY22 4Q: + 508.5 / + 13.1 % (Excluding currency translation effects：+ 132.4 / + 3.4 %) Change FY22 FY23 Change excluding currency translation effects （％） Motorcycle Business 583.1 706.6 + 123.4 +
Slide 26: Sales Revenue/Operating Profit by Geographical Segment
Sales Revenue/Operating Profit by Geographical Segment Yen (billion) Japan North America Europe Asia Other Regions Three Months FY22 FY23 FY22 FY23 FY22 FY23 FY22 FY23 FY22 FY23 Sales Revenue 1,138.5 1,127.4 2,067.8 2,458.8 171.8 220.4 1,163.3 1,179.9 144.7 203.8 Operating Profit - 20.2 - 91.7 86.9
Slide 27: FY23 4th Qtr Results: Capital Expenditures/Depreciation/R&D
FY23 4th Qtr Results: Capital Expenditures/Depreciation/R&D QTD YTD FY22 FY23 FY22 FY23 Change Change Yen (billion) Results Results Results Results Capital expenditures 85.9 95.0 + 9.1 278.4 493.9 + 215.5 Depreciation and 89.8 119.7 + 29.8 369.9 439.3 + 69.4 amortization Research and development 235
Slide 28: Sales Revenue/Operating Profit by Business Segment
Sales Revenue/Operating Profit by Business Segment Yen (billion) QTD YTD FY22 FY23 Change Change FY22 FY23 Change Segment Information 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q (%) Change Results Results (%) Sales Revenue Motorcycle Business 518.2 505.5 578.3 583.1 676.0 736.6 789.6 706.6 + 123.4 + 21.2% 2,185.2 2,908
Slide 29: Honda Group Unit Sales/Consolidated Unit Sales
Honda Group Unit Sales/Consolidated Unit Sales Unit (thousand) QTD YTD Forecast FY22 FY23 Honda Group FY22 FY23 FY23 FY24 Unit Sales 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q Change Change Change Results Results Results Forecast Motorcycles 3,879 4,294 4,602 4,252 4,251 4,951 5,083 4,472 + 220 17,027 18,757 + 1,730 1