Slide 1: FY2002 Preview & FY2003 Projection
MAZDA MOTOR CORPORATION FY2002 PREVIEW & FY2003 PROJECTION April 25, 2003 1 FY2002 Preview & FY2003 Projection
Slide 2: FY2002 Overview
FY2002 OVERVIEW Profits up Sharply from Prior Year - Operating Profit up 77% - Net Income up 173% Revenue Improved 13% YOY Introduction of Atenza/Mazda6 and Demio Cash Flow of ¥47 Billion Successful Dealer Reorganizations 2 FY2002 Preview & FY2003 Projection
Slide 3: Financial Metrics
FINANCIAL METRICS Memo: Change Oct. Proj. (Billion yen) FY2002 FY2001 Amount Pct. FY2002 Revenue 2,364.5 2,094.9 269.6 13 % 2,340.0 Operating Profit 50.6 28.5 22.1 77 % 50.0 Ordinary Profit 40.7 19.2 21.5 112 % 36.0 Profit Before Tax 28.1 15.5 12.6 81 % 26.0 Net Income 24.1 8.8 15.3 173 % 26.5 Retur
Slide 4: Cash Flow & Net Debt
CASH FLOW & NET DEBT FY2002 Memo: B/(W) Oct. Proj. (Billion yen) FY2002 FY2001 FY2001 FY2002 Cash Flow 47.0 30.6 NA 40.0 Net Debt 403.5 456.9 53.4 412.4 Net Debt-to-Equity 208% 264% 56 Pts 214% Capital Spending 44.0 56.6 12.6 44.0 Dividend (¥/Share) 2 2 0 2 4 FY2002 Preview & FY2003 Projection
Slide 5: Japan
JAPAN FY2002 FY2001 Change Industry (000) 5,864 5,819 0.8 % Market Share 4.6 % 4.6 % 0.0 Pts Retail Volume (000) 270 268 0.6 % Atenza and Demio – Product Hits 5 FY2002 Preview & FY2003 Projection
Slide 6: United States
UNITED STATES CY2002 CY2001 Change Industry (000) 16,615 16,927 (1.8) % Market Share 1.6 % 1.6 % 0.0 Pts Retail Volume (000) 258 270 (4.2) % Mazda6 -- Introduced in December Mazda6 Picture 6 FY2002 Preview & FY2003 Projection
Slide 7: Western Europe
WESTERN EUROPE CY2002 CY2001 Change Industry (000) 16,518 17,064 (3.2) % Market Share 1.0 % 0.9 % 0.1 Pts Retail Volume (000) 170 153 11.5 % Memo: Total Europe 182 165 10.7 % Mazda6 Highly Successful 7 FY2002 Preview & FY2003 Projection
Slide 8: Key Assumptions
KEY ASSUMPTIONS FY2002 FY2001 Change WHOLESALES (000) Consolidated 1,017 948 7% EXCHANGE RATES Yen / U.S. Dollar 122.0 125.0 ¥ (3.0) Yen / Euro 120.9 110.4 ¥ 10.5 8 FY2002 Preview & FY2003 Projection
Slide 9: Revenue Changes by Destination
REVENUE CHANGES BY DESTINATION 25% 20% 20% 13% Vol. & Mix 10% 15% Exchange 3% 10% 5% 1% 0% (Billion yen) Total Domestic Overseas FY02 2,364.5 818.3 1,546.2 FY01 2,094.9 811.0 1,283.9 9 FY2002 Preview & FY2003 Projection
Slide 10: Operating Profit Changes
OPERATING PROFIT CHANGES Compared with Prior Year Billion yen 60 51.6 Higher Volume Offset by Incentives 40 22.1 19.7 20 4.8 0 (8.0) (20) (19.7) (26.3) (40) Total Vol & Exch. & Product CR Mktg. Other Oper. Mix FOB Enhanc. Exp. Costs 10 FY2002 Preview & FY2003 Projection
Slide 11: Operating Profit Changes
OPERATING PROFIT CHANGES Compared with Prior Year Billion yen 60 51.6 Euro: 12.8 Other: 6.9 40 22.1 19.7 20 4.8 0 (8.0) (20) (19.7) (26.3) (40) Total Vol & Exch. & Product CR Mktg. Other Oper. Mix FOB Enhanc. Exp. Costs 11 FY2002 Preview & FY2003 Projection
Slide 12: Operating Profit Changes
OPERATING PROFIT CHANGES Compared with Prior Year Billion yen 60 51.6 Product Upgrades VE and Other and Regulatory Product Cost 40 Actions Reductions 22.1 19.7 20 4.8 0 (8.0) (20) (19.7) (26.3) (40) Total Vol & Exch. & Product CR Mktg. Other Oper. Mix FOB Enhanc. Exp. Costs 12 FY2002 Preview & FY200
Slide 13: Operating Profit Changes
OPERATING PROFIT CHANGES Compared with Prior Year Billion yen 60 51.6 40 Higher Pension and Other Costs 22.1 19.7 20 New Model Launches 4.8 0 (8.0) (20) (19.7) (26.3) (40) Total Vol & Exch. & Product CR Mktg. Other Oper. Mix FOB Enhanc. Exp. Costs 13 FY2002 Preview & FY2003 Projection
Slide 14: Other Accomplishments
OTHER ACCOMPLISHMENTS Record Sales in Canada Australia Highest in 20 Years New Funding of ¥100 Billion Arranged Dealer Reorganization Completed Corporate Governance Improved 14 FY2002 Preview & FY2003 Projection
Slide 15: In Sum
IN SUM Significant Profit Growth YOY - Operating Profit up 77% - Net Income up 173% Revenue Growth of 13% Positive Cash Flow of ¥47 Billion New Products Well Received 15 FY2002 Preview & FY2003 Projection
Slide 16: FY2003 Projection
FY2003 PROJECTION 16 FY2002 Preview & FY2003 Projection
Slide 17: FY2003 Overview
FY2003 OVERVIEW Further Profit Growth - Operating Profit at 10-Year High Introduce Mazda2, RX-8 and New C-Car Build Retail Momentum with New Products Generate Positive Cash Flow Continue to Make Progress Despite Economic Uncertainties 17 FY2002 Preview & FY2003 Projection
Slide 18: Financial Metrics
FINANCIAL METRICS Change (Billion yen) FY2003 FY2002 Amount Pct. Revenue 2,420.0 2,364.5 55.5 2 % Operating Profit 65.0 50.6 14.4 28 % Ordinary Profit 57.0 40.7 16.3 40 % Profit Before Tax 49.0 28.1 20.9 74 % Net Income 30.0 24.1 5.9 24 % Return on Sales 1.2% 1.0% 0.2 Pts - Return on Assets 1.7% 1.4
Slide 19: Cash Flow & Net Debt
CASH FLOW & NET DEBT FY2003 B/(W) (Billion yen) FY2003 FY2002 FY2002 Cash Flow 40.0 47.0 NA Net Debt 370.7 403.5 32.8 Net Debt-To-Equity 170% 208% 38 Pts Capital Spending 55.0 44.0 (11.0) Dividend (¥/Share) 2 2 0 19 FY2002 Preview & FY2003 Projection
Slide 20: New Vehicle Introductions
NEW VEHICLE INTRODUCTIONS /2003 NORTH EUROPE JAPAN AMERICA Mazda2 RX-8 RX-8 RX-8 New C-car New C-car New C-car 20 FY2002 Preview & FY2003 Projection
Slide 21: Japan
JAPAN FY2003 FY2002 Change Industry (000) 5,800 5,864 (1.1) % Market Share 5.0 % 4.6 % 0.4 Pts Retail Volume (000) 290 270 7.4 % Full Year of New Demio; RX-8 and New C-Car Introductions 21 FY2002 Preview & FY2003 Projection
Slide 22: United States
UNITED STATES CY2003 CY2002 Change Industry (000) 16,355 16,615 (1.6) % Market Share 1.7 % 1.6 % 0.1 Pts Retail Volume (000) 280 258 8.4 % Continue Growth in Mazda6 Sales, RX-8 Introduction, New C-Car by Year End 22 FY2002 Preview & FY2003 Projection
Slide 23: Western Europe
WESTERN EUROPE CY2003 CY2002 Change Industry (000) 15,878 16,518 (3.9) % Market Share 1.3 % 1.0 % 0.3 Pts Retail Volume (000) 209 170 22.6 % Memo: Total Europe 220 182 20.8 % Mazda2 and RX-8 Introductions; New C-Car by Year End 23 FY2002 Preview & FY2003 Projection
Slide 24: Key Assumptions
KEY ASSUMPTIONS FY2003 FY2002 Change WHOLESALES (000) Consolidated 1,053 1,017 4% EXCHANGE RATES Yen / U.S. Dollar 115.0 122.0 ¥ (7.0) Yen / Euro 125.0 120.9 ¥ 4.1 24 FY2002 Preview & FY2003 Projection
Slide 25: Revenue Changes by Destination
REVENUE CHANGES BY DESTINATION 5% 4% Vol. & Mix 4% Exchange (2)% 3% 3% 2% 2% 2% 1% 0% (Billion yen) Total Domestic Overseas FY03 2,420.0 835.0 1,585.0 FY02 2,364.5 818.3 1,546.2 25 FY2002 Preview & FY2003 Projection
Slide 26: Operating Profit Changes
OPERATING PROFIT CHANGES Compared with Prior Year Billion yen Higher Volumes and 60 Lower New Model Incentives 50.0 40 31.9 20 14.4 0 (4.0) (6.2) (20) (30.8) (26.5) (40) Total Vol & Exch. & Product CR Mktg. Other Oper. Mix FOB Enhanc. Exp. Costs 26 FY2002 Preview & FY2003 Projection
Slide 27: Operating Profit Changes
OPERATING PROFIT CHANGES Compared with Prior Year Billion yen 60 50.0 US $: (10.5) 40 31.9 Euro: 9.4 Other: (2.9) 20 14.4 0 (4.0) (6.2) (20) (30.8) (26.5) (40) Total Vol & Exch. & Product CR Mktg. Other Oper. Mix FOB Enhanc. Exp. Costs 27 FY2002 Preview & FY2003 Projection
Slide 28: Operating Profit Changes
OPERATING PROFIT CHANGES Compared with Prior Year Billion yen 60 50.0 Product Upgrades VE and Other 40 31.9 and Regulatory Product Cost Actions Reductions 20 14.4 0 (4.0) (6.2) (20) (30.8) (26.5) (40) Total Vol & Exch. & Product CR Mktg. Other Oper. Mix FOB Enhanc. Exp. Costs 28 FY2002 Preview & FY2
Slide 29: Operating Profit Changes
OPERATING PROFIT CHANGES Compared with Prior Year Billion yen 60 50.0 40 Higher Pension 31.9 and Other Costs 20 14.4 0 (4.0) (6.2) (20) (30.8) (26.5) (40) Total Vol & Exch. & Product CR Mktg. Other Oper. Mix FOB Enhanc. Exp. Costs 29 FY2002 Preview & FY2003 Projection
Slide 30: In Sum
IN SUM Continuing Progress Despite Economic Uncertainties Operating Profits at 10-Year High Further Revenue & Volume Growth Introduction of Mazda2, RX-8 and New C-Car Positive Cash Flow 30 FY2002 Preview & FY2003 Projection
Slide 31: Millennium Plan
MILLENNIUM PLAN 31 FY2002 Preview & FY2003 Projection
Slide 32: MX Sportif
MX SPORTIF 32 FY2002 Preview & FY2003 Projection
Slide 33: 33 FY2002 Preview & FY2003 Projection
33 FY2002 Preview & FY2003 Projection
Slide 34: Attachments
ATTACHMENTS 34 FY2002 Preview & FY2003 Projection
Slide 35: Operating Profit Changes – FY2002
OPERATING PROFIT CHANGES – FY2002 Billion yen Compared with October Projection 10 4.4 3.4 1.8 0.6 (9.1) 0.1 0.0 0 (10) Total Vol & Exch. & Product CR Mktg. Other Oper. Mix FOB Enrich. Exp. Costs 35 FY2002 Preview & FY2003 Projection
Slide 36: Geographic Operating Profit
GEOGRAPHIC OPERATING PROFIT (Billion yen) FY2002 FY2001 Change Japan 39.9 24.5 15.4 North America 6.5 8.2 (1.7) Europe 5.5 1.0 4.5 Rest of World 4.3 3.3 1.0 Total * 50.6 28.5 22.1 * Includes Intersegment Adjustments 36 FY2002 Preview & FY2003 Projection
Slide 37: Non-Operating & Extraordinary Income
NON-OPERATING & EXTRAORDINARY INCOME (Billion yen) FY2001 FY2002 FY2003 Non-Operating Income/(Loss) (9.3) (9.9) (8.0) Extraordinary Income/(Loss) (3.7) (12.6) (8.0) 37 FY2002 Preview & FY2003 Projection
Slide 38: Uncons. Financial Metrics
UNCONS. FINANCIAL METRICS (Billion yen) FY2001 FY2002 FY2003 Revenue 1,364.6 1,537.6 1,590.0 Operating Profit 26.0 29.0 17.0 Ordinary Profit 28.3 24.5 16.0 Profit Before Tax 20.1 (43.3) 8.0 Net Income 13.2 (50.2) 5.0 Memo: Wholesale Volume (000) 821 872 880 38 FY2002 Preview & FY2003 Projection
Slide 39: 39 FY2002 Preview & FY2003 Projection
39 FY2002 Preview & FY2003 Projection