Yamaha Corporation · TSE:7951

Yamaha — Q2 FY2024.3 Earnings Presentation

30 slides from Yamaha's earnings presentation, Nov 2, 2023

  1. Slide 1: Analyst and Investor Briefing on Second Quarter of FY2024.3

    Analyst and Investor Briefing on Second Quarter of FY2024.3 (Fiscal year ending March 31, 2024) November 2, 2023 Yamaha Corporation

  2. Slide 2: FY2024.3 1H Highlights

    FY2024.3 1H Highlights Overview FY2024.3 1H Achievements • Revenue increased due to the recovery in B2B audio equipment and the impact of exchange rates, despite the sales deline in musical instruments as a result of weakness in market conditions, especially for digital pianos (DP), and slow recover

  3. Slide 3: 1. Performance Summary

    1. Performance Summary YAMAHA

  4. Slide 4: FY2024.3 1H (Six Months) Summary

    FY2024.3 1H Performance FY2024.3 (six months) Full Year Outlook FY2024.3 1H (Six Months) Summary (billions of yen) FY2023.3 1H FY2024.3 1H Change (YoY) *2 Revenue 218.0 219.6 1.6 +0.7% Core Operating 24.4 15.3 Profit -9.1 -37.3% (11.2%) (7.0%) (Core Operating Profit Ratio) *1 Net Profit 20.8 14.9 -5

  5. Slide 5: Core Operating Profit Analysis

    FY2024.3 1H Performance FY2024.3 (six months) Full Year Outlook Core Operating Profit Analysis Versus previous year (billions of yen) Ocean freight Impact of charges exchange rates Price -2.0 3.4 optimization and 24.4 2.6 -6.0 model mix, etc. *1 Cost increase SG&A Decrease in -0.8 *2 IMC business sa

  6. Slide 6: Performance by Business Segment

    FY2024.3 1H Performance FY2024.3 (six months) Full Year Outlook Performance by Business Segment (billions of yen) Exchange FY2023.3 1H FY2024.3 1H Change rate impact Revenue 150.1 148.2 -1.9 5.6 Musical Core Operating Profit 20.6 13.0 -7.6 1.9 Instruments Core Operating Profit Ratio 13.7% 8.8% -4.9P

  7. Slide 7: FY2024.3 Outlook

    FY2024.3 1H Performance FY2024.3 (six months) Full Year Outlook FY2024.3 Outlook (billions of yen) FY2023.3 FY2024.3 FY2024.3 Change from the Full year Full year Change previous Full year (previous projections) (projections) projections Revenue 451.4 470.0 465.0 +13.6 -5.0 Core Operating Profit 45.9

  8. Slide 8: Core Operating Profit Analysis

    FY2024.3 1H Performance FY2024.3 (six months) Full Year Outlook Core Operating Profit Analysis (billions of yen) Versus previous year Ocean freight Impact of charges exchange rates *1 7.0 -5.5 SG&A *2 IMC business 45.9 5.5 -3.5 0.6 Cost increase Decrease in Price -5.3 and others 42.0 sales and produ

  9. Slide 9: Outlook by Business Segment

    FY2024.3 1H Performance FY2024.3 (six months) Full Year Outlook Outlook by Business Segment (billions of yen) FY2023.3 FY2024.3 Exchange Full year Change Full year (projections) rate impact Revenue 302.7 310.0 7.3 9.4 Musical Core Operating Profit 36.2 32.0 -4.2 3.7 Instruments Core Operating Profit

  10. Slide 10: 2. Segment Overview & Updates

    2. Segment Overview & Updates

  11. Slide 11: Segment Revenue and Core Operating Profit: Musical Instruments

    Musical Instruments Audio Equipment IMC Business and Others Segment Revenue and Core Operating Profit 1H overview: Revenue declined as piano and digital piano (DP) sales continued to decrease • Piano sales declined due to slow recovery in China. Digital musical instrument sales Revenue (billions of

  12. Slide 12: 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 (95%) (94%) 103.0 100.7 96.1 (81%) 22.9 26.1 (102%) (123%) 64.1 (84%) (94%) (102%) 65.6 60.6 30.1 62.3 58.7 4Q (86%) (

  13. Slide 13: Revenue by Region

    Musical Instruments Audio Equipment IMC Business and Others Revenue by Region (100%) (billions of yen) (114%) 85.5 82.7 (108%) 22.2 (108%) (101%) 64.4 (98%) (99%) 59.5 60.4 (97%) (103%) 58.3 57.4 55.6 56.8 (79%) 56.0 57.9 53.3 (101%) (86%) 51.0 (101%) 4Q 14.9 15.0 18.1 (120%) 12.7 (67%) (84%) 47.3 1

  14. Slide 14: Segment Revenue and Core Operating Profit: Audio Equipment

    Musical Instruments Audio Equipment IMC Business and Others Segment Revenue and Core Operating Profit 1H overview: B2B product drove a rise in revenue • Sales of consumer products declined • B2B product sales were brisk as the live entertainment market remained Revenue (billions of yen) robust and t

  15. Slide 15: 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 (114%) (98%) (88%) 53.6 50.8 51.7 (116%) (90%) 45.3 12.6 4Q (133%) 14.1 (96%) 3Q 14.5 (134%) 11.8 (136%) (88%) (91%) 14.2 2Q 12.2 (103%) 11.8 9.9 (76%) (122%

  16. Slide 16: Revenue by Region

    Musical Instruments Audio Equipment IMC Business and Others Revenue by Region (billions of yen) (112%) (107%) 32.1 (95%) (113%) 31.0 28.7 29.2 28.7 (98%) (128%) (97%) 26.9 11.4 25.4 4Q 24.5 8.9 (110%) 7.4 (111%) 21.0 (100%) 6.2 20.4 6.9 (102%) (123%) 17.7 6.0 6.1 7.5 (122%) 3Q (101%) 5.8 7.8 14.9 (1

  17. Slide 17: IMC Business and Others: Revenue and Core Operating Profit

    Musical Instruments Audio Equipment IMC Business and Others Revenue by Region 1H overview: • IMC* sales rose driven by sales of automotive sound systems. (billions of yen) Revenue FY2024.3 Projections: • IMC sales are expected to rise due to the sales growth of automotive sound systems. 40 • Golf pr

  18. Slide 18: 3. Other Financial Figures

    3. Other Financial Figures mga YAMAHA

  19. Slide 19: Balance Sheet Summary

    Performance Other Segment Overview Topics Summary Financial Figures Balance Sheet Summary (billions of yen) As of March As of Sept. As of March Change 31, 2024 31, 2023 30, 2023 (projections) Cash and cash equivalents 103.9 97.8 -6.1 125.0 Trade and other receivables 75.4 77.6 2.2 75.0 Other financi

  20. Slide 20: Capital Expenditure/Depreciation, R&D Expense

    Performance Other Segment Overview Topics Summary Financial Figures Capital Expenditure/Depreciation, R&D Expense Capital Expenditure/Depreciation 32.5 (billions of yen) 2.0 12.8 20.5 6.5 0.6 1.4 ■Others 6.6 2.5 4.0 ■Audio Equipment 0.4 24.0 1.2 9.7 ■Musical Instruments 6.5 6.9 15.2 13.1 14.0 5.0 ■D

  21. Slide 21: 4. Topics

    4. Topics

  22. Slide 22: Priority Themes of Make Waves 2.0 (1)

    Performance Other Segment Overview Topics Summary Financial Figures Priority Themes of Make Waves 2.0 (1) Further strengthen the business foundation (1) Develop closer ties with customers (2) Create new value Yamaha Music London, Yamaha‘s Only Hands-on brand store where all visitors Develop Products

  23. Slide 23: Priority Themes of Make Waves 2.0 (2)

    Performance Other Segment Overview Topics Summary Financial Figures Priority Themes of Make Waves 2.0 (2) Set sustainability as a source of value [Environment] [Culture] (1) Build a value chain that supports (3) Expand market through the promotion and the future of the earth and society development

  24. Slide 24: Priority Themes of Make Waves 2.0 (3)

    Performance Other Segment Overview Topics Summary Financial Figures Priority Themes of Make Waves 2.0 (3) Enable Yamaha colleagues to be more valued, Engagement tools published more engaged and more committed (3) Foster open organizational culture where people can proactively take on challenges Annu

  25. Slide 25: Appendix

    Appendix YAMAHA

  26. Slide 26: Performance in 2Q FY2024.3 (Three Months)

    Performance in 2Q FY2024.3 (Three Months) (billions of yen) FY2023.3 2Q FY2024.3 2Q Change *2 Revenue 112.1 113.4 1.3 +1.2% Core Operating Profit 13.4 8.8 -4.7 -34.6% (Core Operating Profit Ratio) (12.0%) (7.8%) *1 Net Profit 12.2 8.5 -3.8 -30.7% *2 Exchange Rate (yen) -3.2 % (Excluding the impact R

  27. Slide 27: Performance by Business Segment in 2Q (Three Months)

    Performance by Business Segment in 2Q FY2023.3 (Three Months) (billions of yen) Exchange FY2023.3 2Q FY2024.3 2Q Change rate impact Revenue 76.7 76.0 -0.7 3.2 Musical Core Operating Profit 11.0 8.3 -2.7 1.1 Instruments Core Operating Profit Ratio 14.3% 10.9% -3.4P Revenue 24.7 28.5 3.9 1.5 Audio Cor

  28. Slide 28: 1H Other Income and Expenses (Six Months)

    1H Other Income and Expenses (Six Months) (billions of yen) FY2023.3 1H FY2024.3 1H Core Operating Profit 24.4 15.3 Profit from (loss on) disposal of fixed assets -0 -0 Other Income and Expenses Others 0.3 0.1 Total 0.3 0.1 Operating Profit 24.7 15.4 Dividends income 1.3 1.6 Financial Income and Oth

  29. Slide 29: Full Year Other Income and Expenses

    Full Year Other Income and Expenses (billions of yen) FY2023.3 FY2024.3 Full year Full year (projections) Core Operating Profit 45.9 42.0 Profit from (loss on) disposal of fixed assets -0 -0 Other Income and Expenses Others 0.6 0 Total 0.6 -0 Operating Profit 46.5 42.0 Dividends income 2.6 3.0 Finan

  30. Slide 30: Forward-looking statements notice

    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

Yamaha — Q2 FY2024.3 Earnings Presentation on 6ix