Nissan Motor Co., Ltd. · TSE:7201
Nissan Motor — FY2021 Earnings Presentation
39 slides from Nissan Motor's earnings presentation, May 12, 2022
Slide 1: Fiscal Year 2021 Financial Results
NISSAN MOTOR CORPORATION FISCAL YEAR 2021 FINANCIAL RESULTS Nissan Motor Co., Ltd. May 12%, 2029
Slide 2: FY21 Results, FY22 Outlook, From Nissan NEXT to Nissan Ambition 2030
SFY21 RESULTS FY22 OUTLOOK FROM NISSAN NEXT TO NISSAN AMBITION 2030
Slide 3: FY21 (Full Year) Sales Performance
FY21(FULL YEAR) SALES PERFORMANCE (THOUSAND UNITS) 3,800 *2% RETAIL VOLUME 3,876 GLOBAL JAPAN CHINA NORTH AMERICA EUROPE OTHERS vs FY20 -4% “10% 4,052 -5% -2% “13% +6% FY21 Result FY20 NISSAN MOTOR CORPORATION DIGITAL INFLUENCED SALES* 18% +6pt 12% 7 FY20 FY21 *: Sales in U.S, PRC, JPN and MEX
Slide 4: Core Market Performance
CORE MARKET PERFORMANCE US | Rebuilding quality of business Product Acceptance From Volume to Value Segment Share Net Revenue / Unit Rogue 7% Pare ih +19% FY20 FY21 > Frontier 11% Sane i FY19 FY20 FY21 FY20 FY21 Healthy Channel Mix Dealer Engagement Rental Mix NADA Overall Index =14pt FQ2Qpt 202 FY1
Slide 5: FY19 FY21
16% FY19 FY20 FY21 12% FY19 FY20 FY21 FY19 FY21 75% 86% ▶ → ▶
Slide 6: Nissan NEXT Progress
NISSAN NEXT PROGRESS 1. Rationalize 2. Prioritize & Focus 20% ; ems Market Focus Product Focus Customer Reese IE = rebuild quality of business 12 model Acceptance —— Mees Net revenue per unit =1 5% Product streamline @ Reaffirming home market in 18 months +1 8% More than a Sustaining momentum -350B
Slide 7: FY21 Financial Performance
FY21 FINANCIAL PERFORMANCE (BILLION YEN) OPERATING PROFIT . AUTO AUTO RETREVENOE (OP MARGIN) NET INCOME” FREE CASH FLOW NET CASH 7862.6 8424.6 728.0 636.0 247.3 | -150.7 (2.9%) 215.5 * — —_£“ (-1.9%) -448.7 || -391.0 -294.7 FY20 YTD FY21 YTD FY20 YTD FY21 YTD FY20 YTD FY21 YTD FY20 YTD FY21 YTD FY20
Slide 8: FY21 Financial Performance: Operating Profit Variance Analysis
FY21 FINANCIAL PERFORMANCE (EQUITY BASIS) OPERATING PROFIT VARIANCE ANALYSIS FY21 vs. PREVIOUS YEAR VS BILLION YEN) +1072 247.3 +339.0 | FY20 FOREX RAW SALES MONOZUKURI OTHER FY21 OP MATERIALS PERFORMANCE PERFORMANCE _ includes following one- O.P. ue time items: ue - Credit I FY21 Q4 (3 montHs) OPER
Slide 9: FY21 Financial Performance
FY21 FINANCIAL PERFORMANCE (EQUITY BASIS) F ENT FY20 FY21 FY20 FY21 (BILLION YEN) YTD YTD VARIANCE a4 04 VARIANCE RETAIL VOLUME (x. units) 4,052 3,876 -176 1,272 970 -302 NET REVENUE 7,862.6 8,424.6 +562.0 2,545.1 2,270.6 -274.5 OPERATING PROFIT -150.7 247.3 +398.0 -19.0 56.0 +75.0 OP MARGIN -1.9% 2
Slide 10: FY21 Results, FY22 Outlook
10 FY21 RESULTS SFY22 OUTLOOK FROM NISSAN NEXT TO NISSAN AMBITION 2030
Slide 11: Sales Volume Outlook
SALES VOLUME OUTLOOK 11 (THOUSAND UNITS) 3,876 FY21 ACTUAL RETAIL VOLUME 4,000 vs. FY21 GLOBAL —+3.2% JAPAN +19.2% CHINA 0.0% NORTH AMERICA + 1-4% EUROPE _-5.9% OTHERS —-+8.7% FY22 OUTLOOK NISSAN MOTOR CORPORATION
Slide 12: FY22 Outlook: Operating Profit Variance Analysis
FY22 OUTLOOK (EQUITY BASIS) OPERATING PROFIT VARIANCE ANALYSIS FY22 OUTLOOK vs. FY21 ACTUAL (BILLION YEN) RAW MATERIALS -212 LOGISTICS = + ; 247 50 -45 957 300 90 250 (OP margin + ~ (OP margin 2.9%) | 2.5%) FOREX +65 REGULATORY & PRODUCT ENRICHMENT. -15 FY21 FOREX / RAW PERFORMANCE INVESTMENT FOR FY
Slide 13: FY22 Outlook
FY22 OUTLOOK (EQUITY BASIS) “eo ACTUAL OUTLOOK = hocnanse) NET REVENUE 8,424.6 10,000.0 Cas OPERATING PROFIT 2473 250.0 ests OP MARGIN 2.9% 2.5% -0.4 points NET INCOME" 215.5 150.0 ens noe “Net income attributable to owners of the parent 13 NISSAN MOTOR CORPORATION
Slide 14: Shareholder Return
SHAREHOLDER RETURN Retail Sales OP Margin (China JV proportionate basis) [M units] 3.7% 3,876 3,800 © | 5 ‘ , FY19 FY20 FY21 result FY21 Outlook FY19 FY20 FY21 result Nissen Next FY21 target Automotive FCF Automotive Net Cash (/) Positive 1 [BUPY] [BUPY] 215.5 (V) H2 positive = 3 el — 728.0 FY19 FY2
Slide 15: Shareholder Return: Dividend per Share
SHAREHOLDER RETURN DIVIDEND PER SHARE (YEN) FY22 FY19 FY20 FY21 (Outlook) Interim dividend 10 0 (0) TBD Year-end dividend 0 0 5 5 5 TBD Total 10 0 (Payout ratio: 90%) (5 YEN or more) 15 NISSAN MOTOR CORPORATION
Slide 16: FY21 Results, FY22 Outlook
16 FY21 RESULTS FY22 OUTLOOK FROM NISSAN NEXT TO NISSAN AMBITION 2030
Slide 17: Together We Empower Mobility and Beyond
TOGETHER WE EMPOWER MOBILITY AND BEYOND AMBITI N 2030 EMPOWERING EMPOWERING JOURNEYS SOCIETY Together We Empower Mobility and beyond 17 NISSAN MOTOR CORPORATION
Slide 18: Innovation in Electrification and Vehicle Intelligence
INNOVATION IN ELECTRIFICATION AND VEHICLE INTELLIGENCE All-solid-state battery Next generation LIDAR technology 18 NISSAN
Slide 19: Empowering Journeys - Launch New EV Minivehicle
EMPOWERING JOURNEYS -LAUNCH NEW EV MINIVEHICLE- f_™N NISSAN XY 2022. 05. 20 14:00 START https://youtu.be/myrmw4UTXYI NI AN MoToR RATION
Slide 20: Empowering Society
EMPOWERING SOCIETY Eneray iia pag nent New mobility service Blue Switch system 7 . . jascali PI EV36Zero Nissan Intelligent Factory Canton Plant (US) (Mexico i re 7 *, T . Se t 20 NISSAN MOTOR CORPORATION
Slide 21: Reforming Company Culture
REFORMING COMPANY CULTURE 21 NISSAN MOTOR CORPORATION
Slide 22: Toward the Final Year of Nissan NEXT
TOWARD THE FINAL YEAR OF NISSAN NEXT NISSAN 22 MOTOR CORPORATION
Slide 23: Appendix
Appendix
Slide 24: Sales Financing
SALES FINANCING (BILLION YEN) NET REVENUE OPERATING TOTAL ASSETS PENETRATION NET CREDIT PROFIT LOSS RATIO 1,020.0 1,031.7 374.8 8,879.3 8,810.9 267.9 51% 47% 0.74% 7 : 0.12% FY20. -FY21 FY20 FY21 FY20 FY21 FY20 FY21 FY20 -FY21 YTD YTD YTD YTD YTD YTD YTD YTD YTD YTD * Strong profit and penetration r
Slide 25: Sales Financing: Penetration
SALES FINANCING PENETRATION (%) 100 90 80 70 60 50 40 30 20 10 (0) 25 NFS NMAC NCF NRFM DNAF/DNFL _ FY20 YTD LEASE MM RETAIL FY21 FY20. FY21 FY20. FY21 YTD YTD YTD YTD YTD NFS: Nissan Financial Services, sales finance company in Japan NMAC: Nissan Motor Acceptance Company LLC, sales finance company
Slide 26: Sales Financing: Net Credit Loss Ratio
SALES FINANCING NET CREDIT LOSS RATIO 26 FY20 YTD Lease: 0.02% NFS Retail: 0.07% Total: 0.06% Lease: 0.44% NMAC Retail: 1.35% Total: 0.94% Lease: 0.08% NCF Retail: 0.18% Total: 0.13% DNFL* Lease: 0.31% DNAF Retail: 0.09% Total: 0.10% NFS: Nissan Financial Services, sales finance company in Japan NMA
Slide 27: Sales Financing: Operating Profit & Asset
SALES FINANCING OPERATING PROFIT & ASSET 27 FY20 YTD NFS Asset: 1,441.4 (billion yen) OP: 32.2 NMAC Asset: 46,203 (million USD) OP: 1,312 NCF Asset: 8,115 (million CAD) OP: 248 NRFM Asset: 98,308 (million MXN) OP: 3,624 DNAF Asset: 73,216 DNFL OP: 2,800 (million CNY) NFS: Nissan Financial Services,
Slide 28: FY21 Sales Performance
FY21 SALES PERFORMANCE 28 76.98 (MILLION UNITS) TIV GLOBAL JAPAN CHINA NORTH AMERICA (U.S) EUROPE OTHERS vs. FY20 +1.8% -9.5% +5.0% -2.4% (-3.4%) 3.3% +10.3% (THOUSAND UNITS) 4,052 RETAIL VOLUME 3,876 GLOBAL JAPAN CHINA NORTH AMERICA (U.S) EUROPE OTHERS vs. FY20 4.3% 10.3% 5.2% -2.4% (-3.7%) 13.3% +
Slide 29: FY21 Q4 (3 Months) Sales Performance
FY21 Q4 (3 MONTHS) SALES PERFORMANCE 29 TIV RETAIL VOLUME 22.26 vs. FY20 1,272 20.51 GLOBAL -79% JAPAN -16.3% vs. FY20 970 GLOBAL -23.8% CHINA -4.0% JAPAN 14.3% CHINA -23.2% NORTH 14.3% aries sa (15.3%) 5 2 S NORTH a Zz EUROPE “14.0% a AMERICA Geen) g z (Us) ’ Ss 2 - 3 OPES oR 3 EUROPE 29.7% = Ee OT
Slide 30: FY21 Q4 (3 Months) Financial Performance
FY21 Q4 (3 MONTHS) FINANCIAL PERFORMANCE (BILLION YEN) OPERATING PROFIT . AUTO AUTO RETREVENOE (OP MARGIN) PERINC OME FREE CASH FLOW NET CASH 2,545.1 2,270.6 56.0 636.0 /28.0 | -19.0 (2.5%) 750 555 - | a Ea 107% oo “26 (0 mm Oe Ee EQUITY BASIS FY20Q4 FY21 04 FY20Q4 FY21 04 FY20Q4 FY21 04 FY20Q4 FY21
Slide 31: Financial Performance
FINANCIAL PERFORMANCE (EQUITY BASIS) (BILLION YEN) ee ee RETAIL VOLUME (K. units) 1,048 NET REVENUE 2,008.2 OPERATING PROFIT 75.7 OP MARGIN 3.8% NON-OPERATING*! 14.6 ORDINARY PROFIT 90.3 EXTRAORDINARY *2 80.2 PROFIT BEFORE TAX 170.5 TAXES -48.8 MINORITY INTEREST -7.2 NET INCOME 114.5 (USD/JPY) 110 P
Slide 32: Financial Performance: Q4 Operating Profit Variance Analysis
FINANCIAL PERFORMANCE (EQUITY BASIS) OPERATING PROFIT VARIANCE ANALYSIS FY21 Q4 (3 MONTHS) vs. PREVIOUS YEAR (BILLION YEN) +96.6 -19.0 +16.0 -58.1 +26.3 -5.8 LJ FY20 FOREX RAW SALES MONOZUKURI OTHER FY21 a4 OP. MATERIALS PERFORMANCE PERFORMANCE a4 OP. 32 NISSAN MOTOR CORPORATION
Slide 33: Financial Performance: FY21 YTD Operating Profit Variance Analysis
FINANCIAL PERFORMANCE (EQUITY BASIS) 33 FY21 YTD OPERATING PROFIT VARIANCE ANALYSIS FOREIGN EXCHANGE IMPACT +63.4 USD +66.5 (106.1 > 112.4) CAD +21.5 (80.3 > 89,7) AUD +75 (76.2=> 83.1) MXN -25.1 (4.93 > 5.53) CNY -9.4 (15.5 > 17.0) EUR* -8.9 OTHERS +11.3 * Includes other European currencies (exclud
Slide 34: Financial Performance: Q4 Operating Profit Variance Analysis
FINANCIAL PERFORMANCE (EQUITY BASIS) 34 FY21 Q4 (3 MONTHS) OPERATING PROFIT VARIANCE ANALYSIS FOREIGN EXCHANGE IMPACT +16.0 USD +25.7 (106.1 > 116.3) CAD +5.3 (83.8 > 91.8) BRL +1.2(19.4= 22.3) MXN -3.8 (6.21 = 5.67) CNY -2.7 (15.8> 178) TRY -2.7 (143584) EUR* -1.3 OTHERS -57 * Includes other Europe
Slide 35: Financial Performance: Free Cash Flow (Auto Business)
FINANCIAL PERFORMANCE (EQUITY BASIS) FREE CASH FLOW (AUTO BUSINESS) (BILLION YEN) NET CASH INFLOW FROM P&L ITEMS +23.3 +8.8 +14.3 +69.2 +116.0 AP/AR -244.6 -106.7 =e) +91.9 -268.6 INVENTORY -271 -115.7 +54.2 -32.5 121.1 TAX/OTHER OPERATING ACTIVITIES +6.3 +115.5 +3.6 -33.6 +915 CASH FLOW FROM OPERAT
Slide 36: FY22 Outlook: Operating Profit Variance Analysis
FY22 OUTLOOK (EQUITY BASIS) OPERATING PROFIT VARIANCE ANALYSIS FY22 OUTLOOK vs. FY21 ACTUAL (BILLION YEN) +400 -25 Te -227 247 250 +65 -210 (OP margin (OP margin 2) 25%) FY21 FOREX RAW SALES MONOZUKURI OTHER FY22 ACTUAL MATERIALS = PERFORMANCE PERFORMANCE OUTLOOK OP. O.P. NISSAN 36 MOTOR CORPORATION
Slide 37: Inventory Status
INVENTORY STATUS (EXCLUDING CHINA JV) INVENTORY STATUS (THOUSAND UNITS) 800 600 570 400 390 280 290 250 - = ° 2021 2022 Mar. Jun. Sep. Dec. Mar. HH s«Dealer inventory, except some minor countries «Consolidated Nissan inventory, except some minor countries 37 NISSAN MOTOR CORPORATION
Slide 38: Net Cash by Business Segment
NET CASH BY BUSINESS SEGMENT (EQUITY BASIS) AS OF MARCH 31, 2021 AS OF MARCH 31, 2022 (BILLION YEN) AUTOMOBILE cues AUTOMOBILE wes on ELIMINATIONS — FINANCING ELIMINATIONS — FINANCING BORROWINGS FROM 2,094.6 5,504.6 7,599.2 1,867.5 5,264.9 7,132.4 THIRD PARTIES INTERNAL LOAN TO SALES -834.5 834.5 0.
Slide 39: Forward-looking statements
39 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 dif