Yamaha Corporation · TSE:7951
Yamaha — Q2 FY2012.3 Earnings Presentation
31 slides from Yamaha's earnings presentation, Nov 2, 2011
Slide 1: Analyst and Investor Briefing on the Second Quarter of FY2012.3
Analyst and Investor Briefing on the Second Quarter of the Fiscal Year Ending March 31, 2012 (FY2012.3) November 2, 2011
Slide 2: Overview of Performance in the Second Quarter
Overview of Performance in the Second Quarter 2Q External Environment Increasing uncertainty over global economic outlook • Delayed recovery of US economy, concern over the economic impact of the sovereign-debt/financial crisis in Europe • Slowing growth in the Chinese market Further sharp rise
Slide 3: Performance in the First Half of FY2012.3
Performance in the First Half of FY2012.3 Net sales and operating income were both down year-on-year. Sales were lower than previous projections (made on August 1), but income was higher. (Billions of yen) Change from FY2012.3 FY2011.3 FY2012.3 Change from same period (1H) FY2012.3 FY2011.3 2Q (1H)
Slide 4: Performance by Business Segment in the First Half of FY2012.3
Performance by Business Segment in the First Half of FY2012.3 Net Sales Operating Income (Billions of yen) (Billions of yen) 184.3 (-4.2%) 176.6 (-2.1%) 180.5 Others Electronic 13.6 (-18.7) 11.1 (+0.7) 11.0 devices 10.3 (-20.7) 8.1 (-4.3) 8.5 AV/IT 25.4 25.0 25.5 9.3 (-1.4) (-1.8) 6.3 5.5 Electronic
Slide 5: FY2012.3 1H Operating Income Analysis
FY2012.3 1H Operating Income Analysis (Billions of yen) Versus same period of the previous year Material cost Change in -¥1.5 inventory increases Impact of valuation Decreased Decrease in -¥0.8 method actual actual SG&A exchange -¥0.1 sales and expenses rates Restructuring -¥0.8 production cost incr
Slide 6: Business Environment in the Second Half and Full Year Performance Forecast
Business Environment in the Second Half of FY2012.3 and Full Year Performance Forecast Business Environment in the Second Half Global economic uncertainty continues to grow Ongoing strong yen Floods in Thailand will affect certain business activities Full Year Performance Forecast Sharp appr
Slide 7: Forecast for Performance in FY2012.3 (Full Year)
Forecast for Performance in FY2012.3 (Full Year) Full year sales projections have been revised downward, but income projections remain unchanged Estimated exchange rates for 2H: US$=80, EUR=110 (Billions of yen) 09/3予想 FY2012.3 FY2011.3 results FY2012.3 new projections previous Increase/ projectio
Slide 8: FY2012.3 Full Year Forecast for Performance by Business Segment
FY2012.3 Full Year Forecast for Performance by Business Segment Net Sales Operating Income (Billions of yen) (Billions of yen) 373.9 (-1.3%) 369.0 (-2.4%) 378.0 Others 25.1 (-10.4) 22.5 (-4.3) 23.5 Electronic devices 20.6 20.0 22.0 (-3.0) (-9.1) 12.5 AV/IT 57.0 (-4.4) 54.5 (-3.5) 56.5 13.2 0.5 12.5
Slide 9: Impact of Great East Japan Earthquake
Impact of Great East Japan Earthquake The previously estimated impact of -¥11.7 billion on sales and -¥4.0 billion on operating income has been revised to -¥9.5 billion on sales and -¥3.5 billion yen on operating income. Initial Previous New Impact projections projections projections (May 9, 2011)
Slide 10: FY2012.3 Full Year Operating Income Analysis
FY2012.3 Full Year Operating Income Analysis Versus same period of the previous year (Billions of yen) Impact of Decrease in exchange Increased actual SG&A rates Material actual expenses cost -¥1.7 increases Change in sales and ¥1.5 13.2 inventory Retirement production 12.5 -¥1.7 valuation benefit -
Slide 11: Musical Instruments
Musical Instruments 1H Overview Full Year Overview and 2H Priorities • Sales and income declined year-on-year and against previous •Sales projections revised downward, but income projections projections. revised upward. • Discounting the impact of exchange rates, actual sales increased by •Monitor t
Slide 12: Musical Instruments: Sales by Region
Musical Instruments: Sales by Region (-4%) 1H Figures in parentheses (Billions of yen) 61.4 59.1 show actual year-on-year changes, discounting the impact of exchange rates Music schools, etc. (-1%) (±0%) (+9%) 21.4 22.7 22.7 21.0 21.7 19.1 (+22%) 9.8 Yamaha 8.5 21.8 21.9 musical 21.0 20.2 20.6 18.4
Slide 13: Musical Instruments: Sales by Region
Musical Instruments: Sales by Region Musical Instrument Sales by Region The market is gradually recovering from the stagnation that followed the March earthquake. From July onward component procurement difficulties stemming from the earthquake inevitably led to production adjustments resulting in su
Slide 14: Musical Instruments: Sales by Product Category
Musical Instruments: Sales by Product Category (Billions of yen) Japan: Surpassed previous year’s results Pianos due to strong demand partly driven by the Electone Figures in parentheses Indonesian manufactured upright pianos. 39.3 40.6 (+6%) North America: Sales picked up slightly in show actual ye
Slide 15: AV/IT
AV/IT 1H Overview Full Year Overview and 2H Priorities • Sales declined year-on-year and against previous projections, but income increased on both counts. •Sales projections revised downward, but income • Discounting the impact of exchange rates, actual projections revised upward. sales increased b
Slide 16: Electronic Devices
Electronic Devices 1H Overview Full Year Overview and 2H Priorities • Sales and income declined year-on-year, and sales were lower than previous projections. •Sales and income projections revised downward. • Sales of sound generators for mobile phones decreased •Focus on upswing in the amusement mar
Slide 17: Others
Others 1H Overview Full Year Overview and 2H Priorities • Sales and income declined year-on-year. • Although sales of automobile interior wood components were down year-on-year, they were •Sales projection revised downward. higher than previous projections due to the •Steadily supply automobile inte
Slide 18: Capital Expenditure/Depreciation/R&D Expenses
Capital Expenditure/Depreciation/R&D Expenses (Billions of yen) Capital Expenditure (Depreciation) 1H Full Year 14.0 (12.3) 14.1 (12.8) (12.9) 10.4 1.6 1.2 5.5 (6.1) 6.4 (5.9) 1.1 1.1 5.1 (5.7) 0.5 2.0 2.2 0.3 Others 0.2 0.5 1.00.9 Electronic devices 0.7 0.4 0.7 0.5 0.2 1.2 AV/IT 8.0 9.4 9.5 Musical
Slide 19: Inventories
Inventories Inventories at the end of September were ¥2.6 billion lower than the same period of the previous year. Discounting the impact of exchange rates (-¥4.6 billion), actual inventories were up by ¥2.0 billion. Discounting the impact of exchange rates, actual inventories were ¥2.5 billion hi
Slide 20: Balance Sheet Summary
Balance Sheet Summary (Billions of yen) As of end of 1H As of fiscal year end As of Sept. 30, As of Sept. 30, As of Mar. 31, As of Mar. 31, Change Change 2010 2011 2011 2012 Cash and deposits* 51.8 55.6 3.8 58.7 63.8 5.1 Notes and accounts receivable 50.8 45.9 -5.0 45.1 43.3 -1.8 Inventories 78.0 75
Slide 21: Appendix
Appendix
Slide 22: Performance in the Second Quarter of FY2012.3 (July – September 30)
Performance in the Second Quarter of FY2012.3 (July 1 – September 30) 2Q three months sales and income declined year-on-year. Sales were lower than previous projections, but operating income was higher. (Billions of yen) Change from Previous FY2011.3 FY2012.3 projections for Change from same period
Slide 23: Performance by Business Segment in the Second Quarter of FY2012.3
Performance by Business Segment in the Second Quarter of FY2012.3 (Three Months) Net Sales Operating Income (Billions of yen) 93.4 (-5.1%) (-4.2%) 92.6 88.7 Others 6.5 (+0.5) 5.9 Electronic 5.1 (-9.1) 5.9 4.7 devices (-15.2) 4.4 (-7.4) AV/IT 13.4 13.1 (-5.2) 12.7 (-3.3) (-3.9) (-4.6) 4.1 Musical 68.
Slide 24: First Half Non-Operating Income/Loss & Extraordinary Income/Loss
First Half Non-Operating Income/Loss & Extraordinary Income/Loss FY2011.3 (1H) results FY2012.3 (1H) results FY2012.3 (1H) previous projections (Billions of yen) Non-operating income/loss Net financial income 0.5 0.4 0.3 Other -1.4 -1.4 -0.8 Total -0.9 -1.0 -1.0 Revaluation loss on investment Extrao
Slide 25: Full Year Non-Operating Income/Loss & Extraordinary Income/Loss
Full Year Non-Operating Income/Loss & Extraordinary Income/Loss FY2011.3 results FY2012.3 FY2012.3 new projections previous projections (Billions of yen) Non-operating income/loss Net financial income 0.7 0.8 0.4 Other -2.9 -2.8 -2.4 Total -2.2 -2.0 -2.0 •Revaluation loss on investment Extraordinary
Slide 26: Musical Instruments: Emerging Market Sales
Musical Instruments: Emerging Market Sales Eastern Europe (Billions of yen) Russia 10% Pianos (+15%) (+6%) (+30%) 26% (+23%) 4.4 4.2 4.5 2.4 2.9 Digital musical 1.9 instruments 2H 2.1 2.1 2.3 1.4 1.7 41% Wind instruments 1.2 15% 1H 2.3 2.1 2.2 0.7 1.0 1.2 FY2010.3 FY2011.03 FY2012.3 8% String & perc
Slide 27: Musical Instruments: Sales and Income by Quarter
Musical Instruments: Sales and Income by Quarter Net sales: ¥276.3 billion Net sales: ¥271.1 billion Net sales: ¥272.0 billion Operating income: ¥5.1 billion Operating income: ¥8.6 billion Operating income: ¥11.0 billion (Billions of yen) 71.3 71.4 72.6 68.4 68.4 70.8 65.2 66.6 65.3 66.6 65.7 67.0 O
Slide 28: AV/IT: Sales and Income by Quarter
AV/IT: Sales and Income by Quarter Net sales: ¥54.4 billion Net sales: ¥57.0 billion Net sales: ¥54.5 billion Operating income: ¥1.4 billion Operating income: ¥2.5 billion Operating income: ¥2.0 billion (Billions of yen) 19.1 18.5 17.4 13.3 12.5 12.0 13.4 12.5 12.4 12.7 11.2 11.0 Operating 2.3 incom
Slide 29: Electronic Devices: Sales and Income by Quarter
Electronic Devices: Sales and Income by Quarter Net sales: ¥19.7 billion Net sales: ¥20.6 billion Net sales: ¥20.0 billion Operating income: -¥0.6 billion Operating income: ¥0.5 billion Operating income: -¥1.0 billion (Billions of yen) 7.5 5.0 5.3 4.8 5.1 5.1 5.2 5.1 4.7 4.4 4.4 3.8 Operating income
Slide 30: Others: Sales and Income by Quarter
Others: Sales and Income by Quarter Net sales: ¥27.5 billion Net sales: ¥25.1 billion Net sales: ¥22.5 billion Operating income: ¥0.5 billion Operating income: ¥1.5 billion Operating income: ¥0.5 billion (Billions of yen) 8.4 1.3 7.1 6.3 6.2 6.5 6.5 5.9 5.9 5.9 0.9 1.5 5.6 5.1 5.5 1.6 1.5 1.6 1.2 0.
Slide 31: 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 pre