Honda Motor Co., Ltd. · TSE:7267
Honda Motor — FY2024 Earnings Presentation
31 slides from Honda Motor's earnings presentation, May 10, 2024
Slide 1: FY24 Financial Results
FY24 Financial Results May 10, 2024 1
Slide 2: The core of Honda's value proposition
The core of Honda's value proposition Environment Safety Strive to eliminate environmental impact Realize safety protecting precious human lives 2
Slide 3: Financial Summary
Financial Summary FY23 Results FY24 Results FY25 Forecast 1,420.0 bil. yen 1,381.9 bil. yen （7.0%） Operating Profit （Operating Margin） 780.7 bil. yen （6.8%） （4.6%） Cash Flows from Same level as Earning Power operating activities (CFO) 2,084.0 bil. yen 3,056.9 bil. yen previous fiscal year after R&D
Slide 4: Initiatives to Establish an Earnings Base
Initiatives to Establish an Earnings Base Motorcycle Business Automobile Business Image of Honda’s Share（CY 2023） Platform Aggregation Image * Hybrid System Evolution * Units per platform ■Honda Mini ■other China JPN/US/EU Honda India Large Architecture ASEAN 3 Latin America 2018 Model Year 2023 Mod
Slide 5: Towards Increasing Corporate Value
Towards Increasing Corporate Value Past Present Future Decline in capital Anxiety due to Analysis on efficiency due to Profitability of uncertainty about low PBR Automobile Business electrification capital accumulation Establishment and Direction of Optimization of Capital Continuation of Earnings b
Slide 6: FY24 Financial Results
HONDA The Power of Dreams FY24 Financial Results
Slide 7: Main Market (Automobile and Motorcycle Business)
Main Market (Automobile and Motorcycle Business) Automobile Business ■ Sales Results in FY24 Retail Main Countries • Despite a decrease in China, exceeded the same period last year Unit vs. FY23 YTD（ Apr. - Mar. ） mainly due to stable demand in the United States. （thousand） （％） Japan 611 109.0 The U
Slide 8: FY24 Results: Honda Unit Sales (Twelve Months)
FY24 Results: Honda Unit Sales (Twelve Months) Unit (thousand) Motorcycles Automobiles Power Products Honda Group Unit FY23 FY24 Change FY23 FY24 Change FY23 FY24 Change Sales Japan 246 241 -5 550 595 + 45 376 302 - 74 North 459 498 + 39 1,195 1,628 + 433 2,274 1,083 - 1,191 America Europe 347 440 +
Slide 9: FY24 Financial Results
FY24 Financial Results Operating Primarily due to an increase in unit sales of automobiles and improving profitability of models, profit : operating profit increased by 601.2 billion yen to 1,381.9 billion yen. Income Statements Yen (billion) FY23 Results FY24 Results Amount Change Sales revenue 16,
Slide 10: Results: Change in Profit before Income Taxes
FY24 Results: Change in Profit before Income Taxes Yen (billion) Profit before Income Taxes + 762.8 ( + 86.7 % ) Operating Profit + 601.2 ( + 77.0 % ) + 524.7 - 357.9 + 168.2 1,642.3 + 151.1 - 6.6 - 34.7 Other Profit of + 317.9 Expenses R&D Currency equity method *2 effects Price/Cost 879.5 impacts
Slide 11: Sales Revenue/Operating Profit by Business Segment (Twelve Months)
FY24 Results: Sales Revenue/Operating Profit (Margin) by Business Segment (Twelve Months) upper：FY24 Motorcycle Automobile Financial Services Power Products and lower：FY23 Business Business Business Other Businesses Unit (thousand) 18,819 4,109 - 3,812 Honda Group (12,219) (2,856) - (3,812) Unit Sal
Slide 12: Cash Flows of Non-Financial Services Businesses
Cash Flows of Non-Financial Services Businesses Yen (billion) FY23 FY24 Twelve Months Cash flows from operating activities + 1,352.7 + 2,288.1 Cash flows from investing activities - 666.9 - 827.1 Free cash flow + 685.8 + 1,460.9 Cash flows from financing activities - 564.8 - 712.5 Effects of exchang
Slide 13: FY25 Financial Forecast
HONDA The Power of Dreams FY25 Financial Forecast
Slide 14: FY25 Forecast: Honda Unit Sales
FY25 Forecast: Honda Unit Sales Unit (thousand) Motorcycles Automobiles Power Products Honda Group FY24 FY25 FY24 FY25 FY24 FY25 Unit Sales Change Change Change Results Forecast Results Forecast Results Forecast Japan 241 200 - 41 595 665 + 70 302 250 - 52 North 498 480 - 18 1,628 1,675 + 47 1,083 1
Slide 15: FY25 Financial Forecast
FY25 Financial Forecast Operating Despite an increase in Research and Development Expenses and Expenses, profit : Operating Profit is increased by 38.0 billion yen to 1,420.0 billion yen. This is primarily due to improvement in Price/Cost impacts, and the increase in unit sales of automobiles and mo
Slide 16: FY25 Forecast: Change in Profit before Income Taxes
FY25 Forecast: Change in Profit before Income Taxes Yen (billion) Profit before Income Taxes - 142.3 ( - 8.7 % ) Operating Profit + 38.0 ( + 2.8 % ) + 502.0 - 71.0 - 121.0 - 201.0 Expenses 1,642.3 - 71.0 *2 R&D - 100.8 - 79.5 1,500.0 Currency Sales Price/Cost effects Profit of Other impacts impacts
Slide 17: FY25 Forecast: Capital Expenditures/Depreciation/R&D
FY25 Forecast: Capital Expenditures/Depreciation/R&D FY24 FY25 Change Yen (billion) Results Forecast Capital expenditures *1 387.9 670.0 + 282.0 Depreciation and amortization *1 486.0 440.0 - 46.0 Research and development expenditures *2 976.3 1,190.0 + 213.6 *1 Capital expenditures as well as Depre
Slide 18: Shareholder Returns
HONDA The Power of Dreams Shareholder Returns
Slide 19: Dividends and Acquisition of the Company's Own Shares
Dividends and Acquisition of the Company’s Own Shares ＜Dividends＞ Dividend per Share FY24 FY25 FY24 (Yen) (Previous) (Forecast) Interim Dividend 29*1 29 *1 (34)*2 Year-end Dividend 29 39 (34) Fiscal Year 58 68 (68) *1 The company implemented the stock split into 3 shares per share with the effective
Slide 20: Caution with Respect to Forward-Looking Statements
Caution with Respect to Forward-Looking Statements: This presentation contains forward-looking statements about the performance and shareholders return of Honda, which are based on management’s assumptions and beliefs taking into account information currently available to it. Therefore, please be ad
Slide 21: HONDA | How we move you.
HONDA | Howwe move you. The Power of Dreams CREATE » TRANSCEND, AUGMENT
Slide 22: Appendix
Appendix
Slide 23: 4th Qtr. Results: Change in Profit before Income Taxes
FY24 4th Qtr. Results: Change in Profit before Income Taxes Yen (billion) Profit before Income Taxes + 357.6 Operating Profit + 258.7 + 23.9 377.8 + 74.9 Other + 55.7 + 164.8 + 8.7 - 6.1 Profit of equity method Expenses R&D Currency *2 effects *3 + 35.5 20.1 Price/Cost impacts Sales Operating impact
Slide 24: 4th Qtr. Results: Sales Revenue/Operating Profit by Business Segment
FY24 4th Qtr. Results: Sales Revenue/Operating Profit (Margin) by Business Segment (Three Months) upper：FY24 Motorcycle Automobile Financial Services Motorcycles Power Products and lower：FY23 Business Business Business Other Businesses Unit (thousand) 4,858 995 - 1,264 Honda Group (3,116) (757) - (1
Slide 25: Change in Sales Revenue
Change in Sales Revenue (sales revenue from external customers） Yen (billion) Three Months Compared with FY23 4Q : + 1,045.0 / + 23.8 % (Excluding currency translation effects：+ 608.9 / + 13.9 %) Change FY23 FY24 Change excluding currency translation effects （％） Motorcycle Business 706.6 862.1 + 155
Slide 26: Changes in Operating Profit in Motorcycle Business/Automobile Business
FY24 Results: Changes in Operating Profit in Motorcycle Business/Automobile Business Operating Profit + 67.5 Yen (billion) Motorcycle Business + 149.6 - 100.5 - 8.7 + 14.1 556.2 488.7 + 13.1 Expenses R&D Currency Sales Price/Cost *2 effects impacts impacts *1 Operating Margin Operating Margin 16.8%
Slide 27: Sales Revenue/Operating Profit by Geographical Segment
FY24 4th Qtr.: Sales Revenue/Operating Profit by Geographical Segment Yen (billion) Japan North America Europe Asia Other Regions Three Months FY23 FY24 FY23 FY24 FY23 FY24 FY23 FY24 FY23 FY24 Sales Revenue 1,127.4 1,289.1 2,458.8 3,171.7 220.4 307.7 1,179.9 1,307.0 203.8 304.1 Operating Profit - 91
Slide 28: 4th Qtr. Results: Capital Expenditures/Depreciation/R&D
FY24 4th Qtr. Results: Capital Expenditures/Depreciation/R&D QTD (Three Months) YTD (Twelve Months) FY23 FY24 FY23 FY24 Change Change Results Results Results Results Yen (billion) Capital expenditures 95.0 167.6 + 72.5 493.9 387.9 - 105.9 Depreciation and 119.7 121.1 + 1.3 439.3 486.0 + 46.6 amortiz
Slide 29: Consolidated Statements of Financial Position
FY24 4th Qtr.: Consolidated Statements of Financial Position Divided into Non-financial Services Businesses and Finance Subsidiaries Yen (billion) Assets Mar. 31, 2023 Mar. 31, 2024 Liabilities and Equity Mar. 31, 2023 Mar. 31, 2024 Cash and cash equivalents 3,553.6 4,624.6 Trade payables 1,379.3 1,
Slide 30: Sales Revenue/Operating Profit by Business Segment
Sales Revenue/Operating Profit by Business Segment Yen (billion) QTD YTD FY23 FY24 Change Change FY23 FY24 Change Segment Information 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q (%) Change Results Results (%) Sales Revenue Motorcycle Business 676.0 736.6 789.6 706.6 756.9 815.6 785.4 862.1 + 155.5 + 22.0% 2,908.9 3,220
Slide 31: Honda Group Unit Sales/Consolidated Unit Sales
Honda Group Unit Sales/Consolidated Unit Sales Unit (thousand) QTD YTD Forecast FY23 FY24 Honda Group FY23 FY24 FY23 FY24 Unit Sales 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q Change Change Change Results Results Results Forecast Motorcycles 4,251 4,951 5,083 4,472 4,473 4,793 4,695 4,858 + 386 18,757 18,819 + 62 18,8