Nissan Motor Co., Ltd. · TSE:7201
Nissan Motor — H1 FY2012 Earnings Presentation
28 slides from Nissan Motor's earnings presentation, Nov 6, 2012
Slide 1: FY2012 first-half financial results
FY2012 first-half financial results Nissan Motor Co., LTD. November 6, 2012 www.nissan-global.com Key performance indicators: financial results (billion yen) Net revenue Operating Net income Free cash flow Net cash profit (Auto) (Auto) 4,546.8 4,367.4 309.7 287.0 442.0 320.4 183.4 178.3 160.4 -70.6
Slide 2: Power / Business update agenda
POWER POWER Brand & sales 8 Global market 8 share by FY16 Sustainable COP power (%) (%) (C) Copyright NISSAN MOTOR CO., LTD. 3 www.nissan-global.com 2012 All rights reserved. FY12 Business update FY12 1st half sales performance FY12 1st half consolidated financial performance FY12 Outlook (C) Copyri
Slide 3: FY12 business update: new car launches in Japan
FY12 business update Improved ranking (C) Copyright NISSAN MOTOR CO., LTD. 5 www.nissan-global.com 2012 All rights reserved. FY12 business update New car launches in Japan Note Latio (launched in 2H) CIMA NV350 Caravan (C) Copyright NISSAN MOTOR CO., LTD. 6 www.nissan-global.com 2012 All rights rese
Slide 4: FY12 business update: new car launches in US and Asia
FY12 business update New car launches in US Pathfinder and Sentra (launched in 2H) Altima (C) Copyright NISSAN MOTOR CO., LTD. 7 www.nissan-global.com 2012 All rights reserved. FY12 business update New car launches in Asia Sylphy Infiniti M LWB Sylphy (launched in 2H) Venucia D50 Venucia R50 (launch
Slide 5: FY12 business update: new technologies and environment
FY12 business update New technologies Autonomous Autonomous Emergency Emergency Steering Steering System System Next Next Generation Generation Steering Steering Technology Technology (C) Copyright NISSAN MOTOR CO., LTD. 9 www.nissan-global.com 2012 All rights reserved. FY12 business update Holistic
Slide 6: FY12 business update: China demonstration impact
FY12 business update China demonstration impact Monitor situation closely Normalize operations as soon as possible Plant operations • Sep : Closed 5 days from 17th to 18th and 27th to 29th • Oct : Resumed operations under 1 shift Sales • Started “Dongfeng Nissan’s Promise for Car Security” progr
Slide 7: Alliance and strategic cooperation update
FY12 business update Alliance and strategic cooperation update Leverage available capacity Expand scope of collaboration (C) Copyright NISSAN MOTOR CO., LTD. 13 www.nissan-global.com 2012 All rights reserved. FY12 Business update FY12 1st half sales performance FY12 1st half consolidated financial p
Slide 8: 1st half sales performance: Global
FY12 1st half sales performance : Global TIV* Retail volume vs. FY11 **M/S 6.2% vs. FY11 **M/S 6.0% 40.10 Global +7.4% 2,476 Global +11.3% 37.35 2,225 2.59 Japan +33.5% 304 Japan +7.5% 9.01 China +5.2% 678 China +14.0% 8.85 North +13.8% (thousand units) America (million units) (7.43) (US) (+15.1%) N
Slide 9: 1st half sales performance: China and North America
FY12 1st half sales performance : China (Jan. to Jun.) Retail volume FY12 1H (Jan. to Jun.) +14% • TIV* : 9.01 million units, +5.2% (thousand units) 678 • Sales: 678 k units, +14% 595 • Market share: 7.5%, +0.6 points, thanks to Tiida, Sunny and Qashqai FY11 FY12 FY12 3Q (Jul. to Sep.) 1H 1H • S
Slide 10: 1st half sales performance: Europe and other markets
FY12 1st half sales performance : Europe Retail volume TIV: 8.93 million units, -4.5% -3.2% Europe excluding Russia: (thousand units) 247 k units, -8.5% 339 328 Russia: 81 k units, +17.3% Market share: FY11 FY12 FY11 FY12 1H 1H 1H 1H Russia 4.9% 5.1% Market share +0.1 point Europe excl. Russ
Slide 11: 1st half financial performance
FY12 Business update FY12 1st half sales performance FY12 1st half consolidated financial performance FY12 Outlook (C) Copyright NISSAN MOTOR CO., LTD. 21 www.nissan-global.com 2012 All rights reserved. FY12 1st half financial performance (billion yen) FY11 FY12 Variance Change 1H 1H vs. FY11 (%) Ne
Slide 12: Operating profit variance analysis and free cash flow
FY12 1st half financial performance Operating profit variance analysis (billion yen) +89.6 +100.0 309.7 -73.8 287.0 -38.9 -5.1 -42.9 -34.9 -16.7 FY11 FOREX Raw Purch. cost Volume Selling R&D Sales Other FY12 1H material / reduction / mix exp. exp. finance items 1H O.P. energy O.P. cost 2Q only 159.3
Slide 13: Inventory management and net cash
Inventory management Inventory status 1,200 56 57 60 54 1,100 50 51 1,000 50 900 800 890 40 (thousand units) 840 860 700 (days) 770 600 720 30 500 400 20 300 200 10 100 0 0 2011 2012 Sep Dec Mar Jun Sep Dealer inventory, except some minor countries Days supply Consolidated Nissan inventory, except s
Slide 14: FY12 outlook: retail volume assumption
FY12 Business update FY12 1st half sales performance FY12 1st half consolidated financial performance FY12 Outlook (C) Copyright NISSAN MOTOR CO., LTD. 27 www.nissan-global.com 2012 All rights reserved. FY12 outlook (Revised on Nov 6th) Retail volume assumption vs FY12 previous 5,350 vs FY11 outlook
Slide 15: FY12 outlook (revised on Nov 6th)
FY12 outlook (Revised on Nov 6th) FY11 (Previous) (Revised) vs. Previous vs. FY11 (billion yen) (Actual) May 11, 2012 Nov. 6, 2012 outlook (A) (B) (C) (C)-(A) (C)-(B) Net revenue 9,409.0 10,300.0 9,815.0 +406.0 -485.0 Operating profit 545.8 700.0 575.0 +29.2 -125.0 OP margin 5.8% 6.8% 5.9% +0.1% -0.
Slide 16: Operating profit variance analysis: outlook
FY12 outlook (Revised on Nov 6th) Operating profit variance analysis (billion yen) FY12 previous outlook vs. FY12 revised outlook 700.0 +99.0 575.0 -60.0 -164.0 FY12 * FOREX Volume / Costs FY12 Previous mix and Revised outlook others outlook O.P. O.P. * Previous outlook on May 11, 2012 (C) Copyright
Slide 17: Shareholder return outlook; challenges and opportunities
FY12 shareholder return outlook 25 dividend per share (yen) 20 2H 12.5 10 1H 12.5 FY10 FY11 FY12 (C) Copyright NISSAN MOTOR CO., LTD. 33 www.nissan-global.com 2012 All rights reserved. FY12 challenges and opportunities Challenges Strong yen Japan – China political issue Weak European market Op
Slide 18: www.nissan-global.com
(C) Copyright NISSAN MOTOR CO., LTD. 35 www.nissan-global.com 2012 All rights reserved.
Slide 19: Appendix: all-new product launches (FY12 2nd half)
Appendix (C) Copyright NISSAN MOTOR CO., LTD. 37 www.nissan-global.com 2012 All rights reserved. FY12 all-new product launches (FY12 2nd half) Scheduled launches Japan ■ NV350 Caravan Wide ■ New truck ■ Latio Europe ■ Sylphy ■ Almera North America ■ Pathfinder ■ Sentra ■ NV350 Urvan China ■ Sylphy ■
Slide 20: Sales financing: funding sources and penetration
Sales financing : Funding sources (As of September 2012) Equity 10.7% Group Finance ABS Off B/S (Inter-Company) 3.3% 20.6% Commercial paper ABS On B/S 0.8% 25.8% S/T Loan 3.5% Bonds L/T Loan 26.0% Total funding amount 9.3% 4,538 billion yen (C) Copyright NISSAN MOTOR CO., LTD. 39 www.nissan-global.c
Slide 21: Sales financing: net credit loss ratio, operating profit and asset
Sales financing: net credit loss ratio FY11 FY12 1H 1H Variance Lease: 0.06% Lease: 0.04% Lease: -0.02% NFS Retail: 0.27% Retail: 0.14% Retail: -0.13% Lease: 0.10% Lease: 0.10% Lease: 0.00% NMAC Retail: 0.61% Retail: 0.50% Retail: -0.11% Lease: 0.17% Lease: 0.20% Lease: +0.03% NCF Retail: 0.17% Reta
Slide 22: 1st half operating profit variance analysis details
FY12 1st half financial performance Operating profit variance analysis (billion yen) 1. Foreign exchange impact -34.9 USD -3.5 (79.8 to 79.4) RUB -16.1 (2.81 to 2.53) BRL -10.3 (49.4 to 39.8) EUR* +3.2 AUD -3.0 (84.3 to 81.3) Others -5.2 * including other European currencies (excluding RUB) 2. Volum
Slide 23: 2nd quarter financial performance (3 months)
FY12 2nd quarter financial performance (3 months) (billion yen) FY11 FY12 Change Variance 2Q 2Q vs. FY11 (%) Net revenue 2,285.5 2,410.4 +124.9 +5.5% Operating profit 159.3 166.4 +7.1 +4.4% OP margin 7.0% 6.9% Non-operating -11.6 -2.3 Ordinary profit 147.7 164.1 +16.4 +11.1% Extraordinary -2.0 -2.8
Slide 24: 2nd quarter operating profit variance details
FY12 2nd quarter financial performance (3 months) Operating profit variance analysis (billion yen) 1. Foreign exchange impact -9.2 USD +3.3 (77.9 to 78.6) RUB -6.7 (2.69 to 2.46) BRL -4.0 (47.7 to 38.8) EUR* +1.7 AUD -0.1 (81.9 to 81.7) Others -3.4 * including other European currencies (excluding RU
Slide 25: Detail of non-operating and extraordinary items
FY12 1st half financial performance Detail of extraordinary gains/losses (billion yen) FY11 FY12 Variance 1H 1H • Sale/disposal of fixed assets -2.0 -1.7 +0.3 • Sale of investment securities 10.5 0.7 -9.8 • Impairment loss on fixed assets -6.3 -1.1 +5.2 • Loss on disaster -21.1 0.0 +21.1 • Others 0.
Slide 26: 2nd quarter extraordinary items and free cash flow
FY12 2nd quarter financial performance (3 months) Detail of extraordinary gains/losses (billion yen) FY11 FY12 Variance 2Q 2Q • Sale/disposal of fixed assets -1.4 -1.5 -0.1 • Sale of investment securities 2.8 0.1 -2.7 • Impairment loss on fixed assets -4.2 -0.8 +3.4 • Others 0.8 -0.6 -1.4 (C) Copyri
Slide 27: Free cash flow variance and other markets retail sales
FY12 1st half financial performance (billion yen) Free cash flow (Auto business) variance FY11 FY12 Variance 1H 1H Net cash inflow from P&L items 370.1 366.4 -3.7 AP/AR 189.7 37.0 -152.7 Inventory -152.6 -211.6 -59.0 Tax/Others -93.5 -56.1 +37.4 Operating activities 313.7 135.7 -178.0 Capex * -132.0
Slide 28: 2nd quarter retail sales: other markets
FY12 2nd quarter retail sales FY12 2Q FY11 2Q Detail of other markets 150 120 101.7 90 (thousand units) 80.7 57.8 60 46.8 51.7 27.2 30 33.0 23.1 0 Asia & M.East Africa Latin Oceania America (C) Copyright NISSAN MOTOR CO., LTD. 55 www.nissan-global.com 2012 All rights reserved.