Nissan Motor Co., Ltd. · TSE:7201
Nissan Motor — FY2010 Earnings Presentation
28 slides from Nissan Motor's earnings presentation, May 12, 2011
Slide 1: Fiscal year 2010 financial results
Fiscal year 2010 financial results May 12, 2011 Nissan Motor Co., Ltd. FY10 full-year financial results Key performance indicators: Financial results (billion yen) Net revenue Operating Net income Free cash flow Net debt profit (Auto) (Auto) +16.7% 8,773.1 7,517.3 +72.5% 537.5 459.3 29.7 +653.1% 375
Slide 2: FY10 Business update: Nissan LEAF
FY10 Business update Nissan LEAF Start of production in Oppama, Japan (Oct.) Start of sales in US, Japan and Europe 2 FY10 full-year financial results FY10 Business update Nissan LEAF European Car of the Year World Car of the Year 3 FY10 full-year financial results
Slide 3: Current status of battery plants; China sales volume
FY10 Business update Current status of battery plants Sunderland, UK Began construction on April 2010 Zama, Japan Currently operating Cacia, Portugal Began construction on February 2011 Smyrna, USA Began construction on May 2010 4 FY10 full-year financial results FY10 Business update China sales vol
Slide 4: China production capacity; Ashok Leyland DOST
FY10 Business update China production capacity (2 shifts) (k units) 1,300 1,200 1,200 1,100 1,000 885 900 800 670 700 600 500 400 300 200 100 0 End of End of End of 2009 2010 2012 9 September 2010: Opened Zhengzhou number 2 plant 9 2012: Huadu number 2 plant scheduled to open 6 FY10 full-year financ
Slide 5: Global compact car and PURE DRIVE
FY10 Business update Start of production and sales of global compact car Europe China China Japan Middle East India India Mexico Mexico Thailand Thailand Africa Latin Oceania America 8 FY10 full-year financial results FY10 Business update PURE DRIVE Idling Stop Clean Diesel 3-cylinder Super-charged
Slide 6: All-new global launches
FY10 Business update 10 all-new global launches Europe Japan North America Nissan LEAF Juke Nissan LEAF Juke Elgrand Quest Micra Serena Murano CrossCabriolet QX Moco NV Series M March QX Nissan LEAF Juke Other markets Sunny All-new global launches QX Regional launches M 10 FY10 full-year financial r
Slide 7: Cooperation with partners; FY10 sales performance
FY10 Business update Cooperation with partners 12 FY10 full-year financial results FY10 sales performance FY10 financial performance Recovery from the earthquake 13 FY10 full-year financial results
Slide 8: Sales performance: Global and Japan
Sales performance: Global Change vs. TIV* Change vs. Retail volume FY09 All All FY09 4,185 regions +19.1% 72.61 regions +12.6% 4.60 Japan -5.7% 600 Japan -4.7% 64.48 3,515 14.52 North +11.4% (12.10) America (+12.4%) North (US) 1,245 +16.6% 47.50 (966) America (+17.3%) (US) (thousand units) 18.05 Eur
Slide 9: Sales performance: China and North America
Sales performance: China (Jan. to Dec.) Retail volume by brand (thousand units) 1,024 +35.5% 756 TIV* increased 31.6% to 16.6 million units Nissan 713 + Infiniti Sales in China increased 35.5% to 546 1,023.6 k units DFL 4Q sales in China increased 25.5% to 210 311 268.6 k units, driven by Sylp
Slide 10: Sales performance: Europe and other markets
Sales performance: Europe Retail volume (thousand units) +19.3% TIV decreased 0.5% to 18.1 million units 509 607 Sales in Western Europe increased by 10.6% to 469.4 k units Sales in Russia increased 84.9% from 55.4 k units to 102.5 k units FY09 FY10 Market share: FY09 FY10 Russia 4.0% 4.8% M
Slide 11: FY10 financial performance
FY10 sales performance FY10 financial performance Recovery from the earthquake 20 FY10 full-year financial results FY10 financial performance FY09 FY10 Variance Change (billion yen) vs FY09 (%) Net revenue 7,517.3 8,773.1 +1,255.8 +16.7% Operating profit 311.6 537.5 +225.9 +72.5% OP margin (4.1%) (6
Slide 12: Operating profit variance analysis; free cash flow
FY10 financial performance Operating profit variance analysis (billion yen) -191.5 537.5 -19.8 -18.5 -11.7 -7.1 +21.4 +32.2 +29.5 311.6 -147.5 +433.1 -85.2 +191.0 FY09 FOREX Raw Purch. Volume/ Selling Resale of R&D Mfg. Warranty Sales AFL After sales FY10 O.P. material/ cost mix exp. returned exp. e
Slide 13: Net debt and inventory management
Net debt (Auto business) 700 ( billion yen) 500 300 783.5 -293.3 bil. yen ⇒ -391.1 bil. yen* 405.3 *Based on FX rates as of 3/31/2010 : 387.9 USD : 93.0 293.3 EUR : 124.9 100 207.1 29.7 22.8 -69.3 -42.9 -100 -293.3 -300 2008 2009 2010 2011 Dec Mar Jun Sep Dec Mar Jun Sep Dec Mar FX Yen/USD End of mo
Slide 14: Recovery from the earthquake
FY10 sales performance FY10 financial performance Recovery from the earthquake 26 FY10 full-year financial results Earthquake Crisis Committee from March 11 27 FY10 full-year financial results
Slide 15: Production status in Japan; Iwaki plant
Production status in Japan Resumed production at all plants Tochigi Iwaki JATCO Kyoto Yokohama Kyushu Oppama Nissan Shatai Kyushu Nissan Koki Nissan Shatai Aichi Kikai JATCO Fuji 28 FY10 full-year financial results Operations restored in Iwaki plant Heavy damages on March 11 Collapse of air ducts Dr
Slide 16: Operations restored in Iwaki plant; remaining challenges
Operations restored in Iwaki plant Resume production from April 18 30 FY10 full-year financial results Three remaining challenges 1) Disrupted supply chain 9 Continue supplier support 9 Secure alternative sourcing 31 FY10 full-year financial results
Slide 17: Three remaining challenges
Three remaining challenges 2) Electricity shortage Company-wide conservation efforts 9 Consider more nighttime operations 9 Consider additional in-house electricity generation 9 Study JAMA’s policy to change days of operation 32 FY10 full-year financial results Three remaining challenges 3) Radioact
Slide 18: Gambaro Nissan!! FY11 Presidential Address
34 FY11 Presidential Address Gambaro Nissan !! 35 FY11 Presidential Address
Slide 19: Maintain Japan production 1 million base
Maintain Japan production 1 million base 36 FY10 full-year financial results 37 FY10 full-year financial results
Slide 20: Appendix: Sales financing funding sources
Appendix 38 FY10 full-year financial results Sales financing: Funding sources (As of March 2011) Equity Group Finance 10.9% (Inter-Company) 17.8% ABS Off B/S 5.1% Commercial paper 5.6% S/T Loan ABS On B/S 3.9% 22.4% L/T Loan Total funding amount 25.0% Bonds 3,857 billion yen 9.3% 39 FY10 full-year f
Slide 21: Sales financing: penetration and net credit loss ratio
Sales financing: penetration Retail Lease 100 % 90 NFS NMAC NCF NRFM 80 70 60 30% 24% 50 24% 40 21% 3% 3% 30 45% 43% 33% 34% 20 28% 32% 30% 31% 10 0 FY09 FY10 FY09 FY10 FY09 FY10 FY09 FY10 NFS: Nissan Financial Service, sales finance company in Japan NMAC: Nissan Motor Acceptance Corporation, sales
Slide 22: Sales financing: operating profit and asset
Sales financing: operating profit & asset ( NFS : billion yen, NMAC : million USD, NCF : million CAD, NRFM : million Peso) FY09 FY10 Variance Asset: 1,160.7 Asset: 1,138.1 Asset: -22.6 NFS OP: 11.5 OP: 11.5 OP: 0.0 Asset: 31,276 Asset: 33,640 Asset: +2,364 NMAC OP: 581 OP: 855 OP: +274 Asset: 3,735
Slide 23: Fourth-quarter sales and financial performance
FY10 fourth-quarter sales performance: Global Change vs. TIV* Change vs. Retail volume All FY09 4Q All FY09 4Q regions +11.4% 1,167 regions +15.6% 18.92 1.14 Japan -23.7% 162 Japan -21.8% 16.98 1,010 North 3.61 +17.8% (3.06) America (+20.2%) (US) North 354 +21.5% (285) America (+25.0%) (US) 4.79 Eur
Slide 24: Fourth-quarter operating profit variance analysis
FY10 fourth-quarter financial performance Operating profit variance analysis (billion yen) 1. Foreign exchange impact -37.2 USD -29.3 (90.7 to 82.3) RUB -5.3 (3.05 to 2.82) CAD -2.1 (87.2 to 83.5) EUR* +0.3 AUD +0.3 (82.1 to 82.8) Others -1.1 2. Volume / mix +88.4 Japan -20.4 US +39.1 EUR +55.0 MEX&
Slide 25: Non-operating and extraordinary gains/losses detail
FY10 financial performance Detail of extraordinary gains/losses (billion yen) FY09 FY10 Variance • Sale/disposal of fixed assets -11.4 5.4 +16.8 • Sale of investment securities 2.1 2.5 +0.4 • Impairment loss on fixed assets -35.7 -10.9 +24.8 • Special addition to retirement benefits -18.3 -7.2 +11.1
Slide 26: Fourth-quarter extraordinary items and free cash flow
FY10 fourth-quarter financial performance Detail of extraordinary gains/losses (billion yen) FY09 FY10 Variance 4Q 4Q • Sale/disposal of fixed assets -9.1 1.9 +11.0 • Sale of investment securities -0.4 0.2 +0.6 • Impairment loss on fixed assets -14.0 -5.5 +8.5 • Special addition to retirement benefi
Slide 27: Free cash flow variance; other markets retail sales
FY10 financial performance Free cash flow (Auto business) variance (billion yen) FY09 FY10 Variance Net cash inflow from P&L items 498.8 793.1 +294.3 AP/AR 247.4 156.4 -91.0 Inventory -27.5 -224.8 -197.3 Tax/Others -11.2 -110.2 -99.0 Operating activities 707.5 614.5 -93.0 Capex* -272.9 -263.7 +9.2 A
Slide 28: Fourth-quarter retail sales: other markets
FY10 fourth-quarter retail sales FY10 4Q Detail of other markets FY09 4Q 100 84.4 60.1 (thousand units) 56.5 49.3 50 47.1 31.8 14.9 18.5 0 Asia & M.East Africa Latin Oceania America 54 FY10 full-year financial results