Nissan Motor Co., Ltd. · TSE:7201
Nissan Motor — Q3 FY2021 Earnings Presentation
27 slides from Nissan Motor's earnings presentation, Feb 8, 2022
Slide 1: Fiscal Year 2021 Third-Quarter Financial Results
FISCAL YEAR 2021 THIRD-QUARTER FINANCIAL RESULTS Nissan Motor Co., Ltd. February 8th, 2022
Slide 2: FY21 Q3 Results / FY21 Outlook
FY21 Q3 RESULTS FY21 OUTLOOK 2
Slide 3: FY21 Q3 (3 Months) Automotive Trend
FY21 Q3 (3 MONTHS) AUTOMOTIVE TREND GLOBAL TOTAL INDUSTRY NISSAN Total Industry Volume *1 [K units] Retail Volume [K units] <Excl. China Local Brands and LCV> <Excl. China Local Brand and LCV> 18,000 -18% 1,000 -16% 16,000 14,000 800 12,000 600 10,000 8,000 400 FY20 Q3 FY21 Q3 FY20 Q3 FY21 Q3 US JPN
Slide 4: (3 Months) Sales Performance: Retail Volume
FY21 Q3 (3 MONTHS) SALES PERFORMANCE RETAIL VOLUME 1,081 vs FY20 112 904 GLOBAL -16% 94 JAPAN -16% 389 (307) 313 CHINA -19% (243) (Nissan PV) (-21%) (THOUSAND UNITS) 323 NORTH (243) 262 AMERICA -19% (195) (-20%) (U.S.) 109 90 EUROPE -18% 148 146 OTHERS -1% FY20 FY21 Q3 Q3 4
Slide 5: FY21 Q3 Core Model Performance
FY21 Q3 CORE MODEL PERFORMANCE Segment Share Evolution (vs FY20 Q3) JPN Note+Aura Q3 US Frontier Q3 13.9% 13.1% +6.6pt +7.2pt vs FY20 Q3 vs FY20 Q3 US Rogue Q3 US Pathfinder Q3 7.3% 3.7% +1.7pt +0.7pt vs FY20 Q3 vs FY20 Q3 PRC Sylphy Q3 IND Magnite Q3 19.2% 4.5% +4.6pt +4.2pt vs FY20 Q3 vs FY20 Q3 5
Slide 6: Auto Business Progress
AUTO BUSINESS PROGRESS Innovative Product Customer Experience Global Net Revenue per unit JPN Note Aura Recognition BUY@HOME + 13% (vs FY20 Q3) 2.8 X vs FY21 Q1 FY21 US Total sales originated from FY20 FY20 FY21 FY21 FY21 BUY@HOME Q3 Q4 Q1 Q2 Q3 Q1 Q2 Q3 Value Acceptance FY21 Auto FCF (B-JPY) FY21 Q
Slide 7: YTD Financial Performance (Proportionate Basis)
FY21 Q3 YTD FINANCIAL PERFORMANCE (BILLION YEN) OPERATING PROFIT AUTO AUTO NET REVENUE NET INCOME*1 （OP MARGIN) FREE CASH FLOW NET CASH 5,317.4 6,154.0 525.5 646.0 EQUITY BASIS 191.3 -131.6 (3.1%) 201.3 *2 (-2.5%) -367.7 -466.0 -350.2 FY20 FY21 FY20 FY21 FY20 FY21 FY20 FY21 FY20 FY21 Q3 YTD Q3 YTD Q
Slide 8: FY21 Q3 YTD Financial Performance: Operating Profit vs. Previous Year
FY21 Q3 YTD FINANCIAL PERFORMANCE (EQUITY BASIS) FY21 Q3 YTD OPERATITNG PROFIT vs. PREVIOUS YEAR (BILLION YEN) +33.4 +10.5 191.3 +312.7 -131.6 +47.4 -81.1 FY20 FOREX RAW SALES MONOZUKURI OTHER FY21 Q3 YTD MATERIALS PERFORMANCE PERFORMANCE Q3 YTD O.P. O.P. FY21 Q3 (3 MONTHS) OPERATING PROFIT vs PREVI
Slide 9: YTD Financial Performance (Equity Basis)
FY21 Q3 YTD FINANCIAL PERFORMANCE (EQUITY BASIS) FY20 FY21 FY20 FY21 (BILLION YEN) VARIANCE VARIANCE Q3 YTD Q3 YTD Q3 Q3 RETAIL VOLUME (K. units) 2,780 2,906 +126 1,081 904 -177 NET REVENUE 5,317.4 6,154.0 +836.6 2,224.8 2,207.0 -17.8 OPERATING PROFIT -131.6 191.3 +322.9 27.1 52.2 +25.1 OP MARGIN -2
Slide 10: FY21 Outlook
FY21 Q3 RESULTS FY21 OUTLOOK 10
Slide 11: FY21 Outlook: Revised vs. Previous Outlook
FY21 OUTLOOK (EQUITY BASIS) FY21 REVISED OUTLOOK vs. PREVIOUS OUTLOOK* (BILLION YEN) +10.0 +10.0 No change +10.0 210.0 180.0 FY21 FOREX / PERFORMANCE INVESTMENT FOR RAW MATERIALS FY21 REGULATORY NEW VEHICLE PREVIOUS AND PRODUCT REVISED OUTLOOK * ENRICHMENT OUTLOOK O.P. COSTS O.P. FY21 OUTLOOK vs PRE
Slide 12: FY21 Outlook (Equity Basis)
FY21 OUTLOOK (EQUITY BASIS) FY21 FY21 VARIANCE vs VARIANCE (BILLION YEN) FY20 PREVIOUS REVISED vs FY20 PREVIOUS ACTUAL OUTLOOK*1 OUTLOOK (% Change) OUTLOOK*1 (% Change) RETAIL VOLUME 4,052 3,800 3,800 -252 No change (K. units) (-6.2%) NET REVENUE 7,862.6 8,800.0 8,710.0 +847.4 -90.0 (+10.8%) (-1.0%)
Slide 13: Appendix
Appendix
Slide 14: Sales Financing: Net Revenue and Operating Profit
(BILLION YEN) NET REVENUE OPERATING TOTAL ASSETS PENETRATION NET CREDIT PROFIT LOSS RATIO 788.5 303.4 773.7 8,556.2 8,569.2 199.6 52% 46% 0.80% 0.14% FY20 FY21 FY20 FY21 FY20 FY21 FY20 FY21 FY20 FY21 Q3 YTD Q3 YTD Q3 YTD Q3 YTD Q3 Q3 Q3 YTD Q3 YTD Q3 YTD Q3 YTD • Strong profit and penetration result
Slide 15: Sales Financing: Penetration
SALES FINANCING PENETRATION (%) NFS NMAC NCF NRFM DNAF/DNFL 100 90 80 70 60 46% 32% 2% 2% 5% 50 23% 4% 40 27% 5% 4% 30 49% 48% 47% 42% 20 32% 35% 32% 34% 29% 24% 10 0 FY20 FY21 FY20 FY21 FY20 FY21 FY20 FY21 FY20 FY21 Q3 Q3 Q3 Q3 Q3 Q3 Q3 Q3 Q3 Q3 YTD YTD YTD YTD YTD YTD YTD YTD YTD YTD LEASE NFS: Ni
Slide 16: Sales Financing: Net Credit Loss Ratio
SALES FINANCING NET CREDIT LOSS RATIO FY20 FY21 VARIANCE Q3 YTD Q3 YTD Lease: 0.02% Lease: 0.01% Lease: -0.01 point NFS Retail: 0.07% Retail: 0.07% Retail: 0.00 point Total: 0.07% Total: 0.06% Total: -0.01 point Lease: 0.50% Lease: -0.37% Lease: -0.87 point NMAC Retail: 1.44% Retail: 0.29% Retail: -
Slide 17: Sales Financing: Operating Profit & Asset
SALES FINANCING OPERATING PROFIT & ASSET FY20 FY21 VARIANCE Q3 YTD Q3 YTD NFS Asset: 1,385.7 Asset: 1343.3 Asset: -42.4 (billion yen) OP: 24.8 OP: 32.2 OP: +7.4 NMAC Asset: 46,959 Asset: 42,059 Asset: -4,900 (million USD) OP: 970 OP: 1,564 OP: +594 NCF Asset: 8,260 Asset: 7,821 Asset: -439 (million
Slide 18: YTD Sales Performance
FY21 Q3 YTD SALES PERFORMANCE TIV RETAIL VOLUME vs. FY20 vs. FY20 57.86 GLOBAL +5.7% 2,906 GLOBAL +4.6% 54.71 3.02 JAPAN -6.4% 2,780 3.23 289 JAPAN -8.3% 315 17.19 CHINA +9.5% 15.70 1,020 CHINA +3.5% 985 NORTH 13.17 AMERICA +1.8% 12.93 (11.15) (+0.8%) (11.07) (U.S.) NORTH (THOUSAND UNITS) 914 +8.1%
Slide 19: (3 Months) Sales Performance
FY21 Q3 (3 MONTHS) SALES PERFORMANCE TIV RETAIL VOLUME 21.90 1,081 1.20 vs. FY20 112 vs. FY20 18.46 GLOBAL -15.7% 904 GLOBAL -16.3% 0.97 JAPAN -19.2% 94 JAPAN -16.1% 6.37 389 5.49 CHINA -13.8% 313 CHINA -19.5% 4.88 (4.21) NORTH 3.93 -19.6% (3.33) AMERICA (-20.9%) 323 (THOUSAND UNITS) (U.S.) NORTH -1
Slide 20: (3 Months) Financial Performance
FY21 Q3 (3 MONTHS) FINANCIAL PERFORMANCE (BILLION YEN) OPERATING PROFIT AUTO AUTO NET REVENUE NET INCOME * （OP MARGIN) FREE CASH FLOW NET CASH 2,224.8 2,207.0 646.0 EQUITY BASIS 52.2 525.5 27.1 (2.4%) 32.7 38.7 (1.2%) -37.8 -1.2 FY20 FY21 FY20 FY21 FY20 FY21 FY20 FY21 FY20 FY21 Q3 Q3 Q3 Q3 Q3 Q3 Q3
Slide 21: Financial Performance (Quarterly)
FINANCIAL PERFORMANCE (EQUITY BASIS) (BILLION YEN) FY21 Q1 Q2 Q3 Q3 YTD RETAIL VOLUME 1,048 954 904 2,906 (K. units) NET REVENUE 2,008.2 1,938.8 2,207.0 6,154.0 OPERATING PROFIT 75.7 63.4 52.2 191.3 OP MARGIN 3.8% 3.3% 2.4% 3.1% NON-OPERATING *1 14.6 30.8 19.3 64.7 ORDINARY PROFIT 90.3 94.2 71.5 256
Slide 22: FY21 Q3 YTD Operating Profit Variance Analysis
FINANCIAL PERFORMANCE (EQUITY BASIS) FY21 Q3 YTD OPERATING PROFIT VARIANCE ANALYSIS (BILLION YEN) FOREIGN EXCHANGE IMPACT VOLUME/MIX SELLING EXPENSES +47.4 +22.8 +256.5 USD +40.8 (106.1 ⇒ 111.1) JPN -9.1 VOL*1: -11.9 JPN -3.6 I NCE NTIVES: -2.9 MIX: -1.1 OTHERS: -0.7 CAD +16.1 (79.2 ⇒ 88.9) INCENTIV
Slide 23: FY21 Q3 Operating Profit Variance Analysis
FINANCIAL PERFORMANCE (EQUITY BASIS) FY21 Q3 (3 MONTHS) OPERATING PROFIT VARIANCE ANALYSIS (BILLION YEN) FOREIGN EXCHANGE IMPACT VOLUME/MIX SELLING EXPENSES +28.8 -40.5 +94.9 USD +25.4 (104.5 ⇒ 113.7) JPN -11.6 VOL*1: -9.4 JPN -1.6 INCENTIVES: -3.1 MIX: -5.2 OTHERS: +1.5 CAD +5.2 (80.2 ⇒ 90.2) INCEN
Slide 24: Free Cash Flow (Auto Business)
FINANCIAL PERFORMANCE (EQUITY BASIS) FREE CASH FLOW (AUTO BUSINESS) (BILLION YEN) FY21 Q3 YTD Q1 Q2 Q3 NET CASH INFLOW FROM P&L ITEMS +23.3 +8.8 +14.3 +46.7 AP/AR -244.6 -106.7 -9.1 -360.4 INVENTORY -27.1 -115.7 +54.2 -88.6 TAX/OTHER OPERATING ACTIVITIES +6.3 +115.5 +3.6 +125.0 CASH FLOW FROM OPERAT
Slide 25: Inventory Status
INVENTORY STATUS (EXCLUDING CHINA JV) INVENTORY STATUS (THOUSAND UNITS) 800 620 600 570 390 400 280 290 200 0 2020 2021 Dec. Mar. Jun. Sep. Dec. Dealer inventory, except some minor countries Consolidated Nissan inventory, except some minor countries 25
Slide 26: Net Cash by Business Segment
NET CASH BY BUSINESS SEGMENT (EQUITY BASIS) AS OF MARCH 31, 2021 AS OF DECEMBER 31, 2021 (BILLION YEN) AUTOMOBILE AUTOMOBILE SALES SALES & TOTAL & TOTAL FINANCING FINANCING ELIMINATIONS ELIMINATIONS BORROWINGS FROM 2,094.6 5,504.6 7,599.2 1,791.1 5,360.6 7,151.7 THIRD PARTIES INTERNAL LOAN TO SALES
Slide 27: Forward-looking statements
This presentation contains forward-looking statements, based on judgments and estimates that have been made on the basis of currently available information. By nature, such statements are subject to uncertainty and risk. Therefore, you are advised that the final results might be significantly differ