Yamaha Corporation · TSE:7951
Yamaha — Q3 FY2025.3 Earnings Presentation
33 slides from Yamaha's earnings presentation, Feb 5, 2025
Slide 1: Analyst and Investor Briefing on Third Quarter of FY2025.3
Analyst and Investor Briefing on Third Quarter of FY2025.3 (Fiscal year ending March 31, 2025) February 5, 2025 Yamaha Corporation
Slide 2: FY2025.3 3Q Highlights
FY2025.3 3Q Highlights Overview Achievements of first three quarters of FY2025.3 (nine months) - Revenue declined year-on-year in real terms due to continued weak musical instrument business reflecting ongoing sluggish Chinese market, despite the continued strong performance of B2B audio equipment,
Slide 3: 1. Performance Summary
1. Performance Summary YAMAHA
Slide 4: FY2025.3 3Q (Nine Months) Summary
FY2025.3 3Q Performance FY2025.3 (nine months) Full Year Outlook FY2025.3 3Q (Nine Months) Summary (billions of yen) FY2024.3 1-3Q FY2025.3 1-3Q Change (YoY) *2 Revenue 341.8 350.7 8.9 +2.6％ Core Operating Profit 27.8 31.9 ＋14.9％ 4.1 (Core Operating Profit Ratio) (8.1%) (9.1％) *1 Net Profit 20.7 14.
Slide 5: Core Operating Profit Analysis
FY2025.3 3Q Performance FY2025.3 (nine months) Full Year Outlook Core Operating Profit Analysis Versus previous year (billions of yen) Ocean Impact of freight exchange rates charges Previous year *1 -0.8 structural IMC business -1.0 and others Cost increase reforms 31.9 -2.6 1.5 -0.7 7.7 Decrease in
Slide 6: Performance by Business Segment
FY2025.3 3Q Performance FY2025.3 (nine months) Full Year Outlook Performance by Business Segment (billions of yen) FY2024.3 FY2025.3 Exchange Change 1-3Q 1-3Q rate impact Revenue 228.1 224.9 -3.1 9.6 Musical Core Operating Profit 21.4 18.3 -3.0 5.2 Instruments Core Operating Profit Ratio 9.4％ 8.2％ -
Slide 7: FY2025.3 Outlook
FY2025.3 3Q Performance FY2025.3 (nine months) Full Year Outlook FY2025.3 Outlook (billions of yen) FY2024.3 FY2025.3 FY2025.3 Change from the Full year Full year Change previous Full year (previous projections) (projections) projections *2 Revenue 462.9 460.0 460.0 -2.9 0 Core Operating Profit 33.7
Slide 8: Core Operating Profit Analysis
FY2025.3 3Q Performance FY2025.3 (nine months) Full Year Outlook Core Operating Profit Analysis (billions of yen) Versus previous year Impact of Ocean exchange rates freight Decrease in sales, charges production and -1.2 model mix, etc. Cost increase -1.5 33.7 8.0 Previous year *1 structural One-tim
Slide 9: Outlook by Business Segment
FY2025.3 3Q Performance FY2025.3 (nine months) Full Year Outlook Outlook by Business Segment (billions of yen) FY2024.3 FY2025.3 Exchange Full year Change Full year (projections) rate impact Revenue 305.2 294.0 -11.2 9.7 Musical Core Operating Profit 25.3 21.0 -4.3 5.5 Instruments Core Operating Pro
Slide 10: Reorganization for Piano Production System
Reorganization for Piano Production System Decision to reorganize production system to match business scale Drastic change in the business environment - Significant decline of demand in China, the global - While structural reforms have been implemented since the previous largest market fiscal year i
Slide 11: Piano Production Structural Reform
Piano Production Structural Reform On schedule to finalize a series of acoustic piano production structural reforms (to be completed in December 2025) - Completion of the recording of restructuring costs (extraordinary loss) Expected effects in the following Reforms Expenses fiscal year and beyond F
Slide 12: 2. Segment Overview & Updates
2. Segment Overview & Updates
Slide 13: Segment Revenue and Core Operating Profit: Musical Instruments
Musical Instruments Audio Equipment IMC Business and Others Segment Revenue and Core Operating Profit Nine Months: Revenue declined, due to sluggish market conditions continued in China, despite recovery trend in digital pianos - Piano sales decreased due to continued sluggish Chinese market and wea
Slide 14: Revenue by Major Product Category
Musical Instruments Audio Equipment IMC Business and Others Revenue by Major Product Category (billions of yen) Pianos Digital Musical Winds, Strings Guitars Instruments /Percussion (100%) 103.0 (89%) 100.7 97.3 22.9 (93%) 23.5 (104%) (97%) 68.8 69.4 60.6 (88%) 30.1 (89%) (106%) 62.3 31.1 (109%) 55.
Slide 15: Revenue by Region
Musical Instruments Audio Equipment IMC Business and Others Revenue by Region (billions of yen) (95%) (93%) 82.7 84.0 81.9 (100%) 22.2 24.8 (98%) (101%) (101%) (99%) 62.2 64.0 (102%) 59.6 58.9 (95%) 59.2 57.4 55.6 (96%) 56.0 56.5 (106%) 14.4 51.0 (90%) (91%) (95%) 4Q 15.0 16.1 (82%) 22.8 21.6 13.2 1
Slide 16: Segment Revenue and Core Operating Profit: Audio Equipment
Musical Instruments Audio Equipment IMC Business and Others Segment Revenue and Core Operating Profit Nine Months: Revenue increased due to strong B2B product sales - Consumer product sales declined due to downsizing of home audio business. - B2B product sales increased significantly due to continue
Slide 17: Revenue by Major Product Category
Musical Instruments Audio Equipment IMC Business and Others Revenue by Major Product Category (billions of yen) Consumer Products B2B Products (116%) 73.0 (128%) 61.3 (90%) 50.8 48.7 (91%) (128%) 46.1 19.5 (112%) (79%) 45.3 4Q 12.6 17.5 11.1 14.1 (126%) (101%) (83%) 15.6 14.5 (123%) 3Q 15.6 13.3 17.
Slide 18: Revenue by Region
Musical Instruments Audio Equipment IMC Business and Others Revenue by Region (billions of yen) (108%) 35.6 (102%) (102%) (100%) (105%) 32.1 (116%) 32.2 31.2 31.0 31.5 30.3 (99%) (110%) 26.9 (107%) (98%) 8.3 4Q 11.4 24.5 8.4 24.8 10.9 (119%) (96%) 7.4 8.3 22.6 6.9 (86%) (99%) (116%) (121%) 8.6 6.0 8
Slide 19: Segment Revenue and Core Operating Profit: IMC Business and Others
Musical Instruments Audio Equipment IMC Business and Others Segment Revenue and Core Operating Profit Nine Months: - Sales of electronic devices increased significantly driven by sales of automotive sound systems. (billions of yen) - Sales of automobile interior wood components, factory automation (
Slide 20: 3. Other Financial Figures
3. Other Financial Figures mga YAMAHA
Slide 21: Balance Sheet Summary
Performance Other Segment Overview Topics Summary Financial Figures Balance Sheet Summary (billions of yen) As of March As of Dec. As of March Change 31, 2025 31, 2024 31, 2024 (projections) Cash and cash equivalents 101.6 114.8 13.2 130.0 Trade and other receivables 88.0 83.8 -4.2 81.0 Other financ
Slide 22: ROE, ROIC and Shareholder Returns
Performance Other Segment Overview Topics Summary Financial Figures ROE, ROIC and Shareholder Returns ROE FY2025.3 forecast 2.7% ROIC FY2025.3 forecast 4.5% (Cost of shareholders’ equity* 7.5%) (WACC 7.5%) 10% or 10.1% 10% or more 9.2％ more 8.8% 9.7% 7.4% 7.9% 7.8% 6.1% 7.3% 5.5% 2.7% 4.5% FY2020.3
Slide 23: Acquisition and Cancellation of Treasury Stock
Performance Other Segment Overview Topics Summary Financial Figures Acquisition and Cancellation of Treasury Stock Acquisition of Treasury Stock Type of shares to be acquired Common stock of the Company Shares to be acquired 12,244,300 shares* Amount of acquisition ¥13,999,947,122 Acquisition period
Slide 24: Acquisition of Treasury Shares
Performance Other Segment Overview Topics Summary Financial Figures Acquisition of Treasury Shares Date of Resolution February 5, 2025 Reasons for the acquisition To enhance shareholder returns and capital efficiency Acquisition period February 18, 2025 to November 30, 2025 Number of shares to be ac
Slide 25: Capital Expenditure/Depreciation, R&D Expense
Performance Other Segment Overview Topics Summary Financial Figures Capital Expenditure/Depreciation, R&D Expense *Full year projections remain unchanged from the Capital Expenditure/Depreciation previous announcement on November 1, 2024. 27.1 (billions of yen) 16.0 1.7 20.0 0.7 12.8 4.9 2.0 ■Others
Slide 26: 4. Topics
4. Topics
Slide 27: Priority Themes of Make Waves 2.0
Performance Other Segment Overview Topics Summary Financial Figures Priority Themes of Make Waves 2.0 Further strengthen the Set sustainability as a source of value business foundation [Environment] [Culture] (2) Create new value Build a value chain that supports Expand market through the promotion
Slide 28: Appendix
Appendix YAMAHA
Slide 29: Performance in 3Q FY2025.3 (Three Months)
Performance in 3Q FY2025.3 (Three Months) (billions of yen) FY2024.3 3Q FY2025.3 3Q Change *2 Revenue 122.2 122.6 0.4 ＋0.3％ Core Operating Profit 12.5 11.5 -1.0 （9.4％） -7.8% (Core Operating Profit Ratio) (10.2%) *1 Net Profit 5.8 9.0 3.3 ＋56.3% *2 Exchange Rate (yen) -1.4% (Excluding the impact Reve
Slide 30: Performance by Business Segment in 3Q FY2025.3 (Three Months)
Performance by Business Segment in 3Q FY2025.3 (Three Months) (billions of yen) Exchange FY2024.3 3Q FY2025.3 3Q Change rate impact Revenue 79.8 79.7 -0.1 1.7 Musical Core Operating Profit 8.4 7.8 -0.6 0.8 Instruments Core Operating Profit Ratio 10.5％ 9.8％ -0.7P Revenue 33.6 34.0 0.4 0.4 Audio Core
Slide 31: 3Q Other Income and Expenses (Nine Months)
3Q Other Income and Expenses (Nine Months) (billions of yen) FY2024.3 FY2025.3 1-3Q 1-3Q Core Operating Profit 27.8 31.9 Profit from (loss on) disposal of fixed assets 0 -0.1 Other Income and Expenses Others -2.2 -11.5 Total -2.2 -11.6 Operating Profit 25.6 20.3 Dividends income 1.8 1.8 Financial In
Slide 32: Full Year Other Income and Expenses
Full Year Other Income and Expenses (billions of yen) FY2024.3 FY2025.3 Full year Full year (projections) Core Operating Profit 33.7 33.0 Profit from (loss on) disposal of fixed assets -0 0.5 Other Income and Expenses Others -4.6 -16.0 Total -4.7 -15.5 Operating Profit 29.0 17.5 Dividends income 3.0
Slide 33: Forecast cautionary note
In this report, the figures forecast for the Company’s future performance have been calculated on the basis of information currently available to Yamaha and the Yamaha Group. Forecasts are, therefore, subject to risks and uncertainties. Accordingly, actual performance may differ greatly from our pro