Yamaha Corporation · TSE:7951
Yamaha — Q3 FY2009.3 Earnings Presentation
35 slides from Yamaha's earnings presentation, Feb 4, 2009
Slide 1: Analyst and Investor Briefing on the Third Quarter of FY2009.3
Analyst and Investor Briefing on the Third Quarter of the Fiscal Year Ending March 31, 2009 (FY2009.3) February 4, 2009 YAMAHA CORPORATION
Slide 2: Overview of Performance in the Third Quarter of FY2009.3
Overview of Performance in the Third Quarter of FY2009.3 3Q External Environment ■ Business confidence deteriorated further in the October-December period. ■ The value of the yen rose sharply. 3Q (Oct-Dec) Results ■As performance rapidly deteriorated, a Management Reform Committee was launched to le
Slide 3: Performance in the Third Quarter of FY2009.3
Performance in the Third Quarter of FY2009.3 ¾Net sales were lower than previous projections, but operating income was higher. Sales and income both declined year-on-year. (Billions of yen) FY2008.3 FY2009.3 Change from Previous （3Q） （3Q） projections Change from same period of (Oct. 31, 2008) projec
Slide 4: Performance by Business Segment in the Third Quarter of FY2009.3
Performance by Business Segment in the Third Quarter of FY2009.3 Net Sales Operating Income (Billions of yen) 148.2 (-19.8%) Others Lifestyle- 11.3 (-35.9) related 125.8 (-5.5%) products 12.1 (+4.2) 118.9 Electronic 8.9 (-47.5) 8.4 (-13.4) devices 7.3 (-27.4) 12.1 (+4.2) 22.9 12.6 AV/IT 4.7 5.2 (-9.
Slide 5: Business Environment in the Fourth Quarter of FY2009.3 and Full Year Performance Forecast
Business Environment in the Fourth Quarter of FY2009.3 and Full Year Performance Forecast Business Environment in the Fourth Quarter ■Further deterioration in the macro economy ・The economic slowdown that originated in the U.S. is gradually spreading to Europe and emerging markets ・Further decline i
Slide 6: Forecast for Business Performance in the Fourth Quarter of FY2009.3
Forecast for Business Performance in the Fourth Quarter of FY2009.3 ¾Fourth quarter sales and income are expected to be much lower than previous projections. (Billions of yen) FY2008.3 FY2009.3 Previous Change from （4Q） （4Q） Change from projections previous FY2008.3 (Oct. 31, 2008) actual projection
Slide 7: Forecast for Performance by Business Segment in the Fourth Quarter of FY2009.3
Forecast for Performance by Business Segment in the Fourth Quarter of FY2009.3 Net Sales Operating Income (Billions of yen) 119.9 (-20.2%) Others 10.7 (-52.2) 111.7 (-14.4%) Lifestyle- 10.5 8.0 (-36.3) related (-2.4) 95.6 products Electronic 10.8 (-4.6) devices 8.2 (-42.5) 5.1 10.3 8.2 (-42.7) AV/IT
Slide 8: Forecast for Performance in FY2009.3 (Full Year)
Forecast for Performance in FY2009.3 (Full Year) ¾Estimated 4Q exchange rates: US$=¥95 EUR=¥120 ¾Revised full year projections for sales and income are lower than previous projections. A year-end loss is predicted. (Billions of yen) (%) FY2009.3 Change Change 1Q-3Q 4Q FY2009.3 FY2008.3 from from (pr
Slide 9: FY2009.3 Full Year Forecast for Performance by Business Segment
FY2009.3 Full Year Forecast for Performance by Business Segment Net Sales Operating Income 548.8 (-15.3%) (Billions of yen) Others 47.4 (-33.5) Lifestyle- 488.0 (-4.7%) related 45.5 (-2.2) 465.0 (-11.3) 32.8 Others products 35.5 Electronic 31.5 0.6 Lifestyle-related 45.0 (-50.0) 44.5 (-) products de
Slide 10: Musical Instruments
Musical Instruments 3Q Overview Full Year Overview and 4Q Priorities ・Sales and income were lower than last year’s 3Q figures. Sales were lower than previous projections, but income was higher. ・Full year sales and operating income are expected to be ・Discounting the impact of exchange rates, actual
Slide 11: Musical Instruments: Sales by Region
Musical Instruments: Sales by Region Includes ¥1.8 billion of sales by newly-consolidated subsidiaries (Billions of yen) 101.8 100.7 (-1%) Figures in parentheses show actual year-on-year change, discounting the 1-3Q Includes ¥0.4 billion of sales impact of exchange rates 3Q 33.1 31.2 (-6%) by newly-
Slide 12: Yamaha Musical Instruments: Sales by Region
Yamaha Musical Instruments: Sales by Region Musical Instrument Sales by Region Japan Sales of large keyboard instruments, especially pianos, suffered a significant downturn. While the launch of new digital pianos will recoup some lost ground over the full year, this will not make up for depressed Ya
Slide 13: Musical Instruments: Sales by Product Category
Musical Instruments: Sales by Product Category (Billions of yen) Pianos Digital Musical Instruments Figures in parentheses show actual year-on-year change, discounting the 54.6 79.6 (-1%) impact of exchange rates (-7%) 15.5 69.4 12.2 46.1 11.7 4Q 9.9 (-7%) (-8%) 42.4 64.1 57.7 (±0%) 1-3Q 36.2 (-7%)
Slide 14: Musical Instruments: Sales by Product Category
Musical Instruments: Sales by Product Category Musical Instrument Sales by Product Category Pianos Demand declined sharply in the U.S. due to the housing downturn and in Japan due to sluggish consumption. Sales in Europe remain robust and the Chinese market continues to grow, but the rate of growth
Slide 15: AV/IT
AV/IT 3Q Overview Full Year Overview and 4Q Priorities ・Sales and income declined year-on-year. Sales were lower than previous projections, but income was higher. ・Further downward revision of full year sales projections. ・Discounting the impact of exchange rates, actual sales The projected operatin
Slide 16: Electronic Devices
Electronic Devices 3Q Overview Full Year Overview and 4Q Priorities ・Sales and income decreased year-on-year, and ・Further downward revision of full year sales sales were lower than previous projections. and operating income projections – key factors behind this are falling demand for LSI sound ・Dem
Slide 17: Lifestyle-Related Products
Lifestyle-Related Products 3Q Overview Full Year Overview and 4Q Priorities ・Sales and income increased year-on-year, due to a rise ・Full year projections for sales and operating income in new housing starts and a rush in demand resulting remain unchanged. from tax breaks on housing loans. Sales wer
Slide 18: Others
Others 3Q Overview Full Year Overview and 4Q Priorities ・Sales and income were lower than last year’s 3Q ・Further downward revision of full year forecasts for figures and previous projections. automobile interior wood components, magnesium ・Due to drastically decreased production by finished molded
Slide 19: Inventories
Inventories ¾Inventories at the end of December were at the same level as the previous year, but discounting the impact of exchange rates actual inventories rose by ¥15.6 billion mainly in musical instruments and semiconductors. Discounting the impact of exchange rates, actual inventories were ¥6.3
Slide 20: Capital Expenditure/Depreciation/R&D Expenses
Capital Expenditure/Depreciation/R&D Expenses (Billions of yen) Capital Expenditure (Depreciation) 1-3Q Full Year 27.5 24.4 24.0 4.1 16.4(15.5) 17.5 3.5 3.2 Others 15.4 3.0 (20.3) 3.6 2.0 (13.7) 2.4 (18.1) (18.8) 2.4 (13.6) Electronic 3.5 2.2 devices 1.7 1.3 2.0 1.6 1.0 1.6 AV/IT 1.5 1.3 Musical 16.
Slide 21: Balance Sheet Summary Forecast
Balance Sheet Summary Forecast As of end Full year of 3Q As of Dec. As of Dec. 31, Change As of Mar. As of Mar. 31, Change 31, 2007 2008 31, 2008 2009 Cash and deposits 101.9 43.8 -58.1 104.0 36.7 -67.3 Notes and accounts 65.1 59.5 -5.6 receivable 85.1 66.0 -19.1 Inventories 84.2 83.9 -0.3 76.3 77.7
Slide 22: Slide 22
Slide 23: Appendix
Appendix
Slide 24: Third Quarter Non-Operating Income/Loss & Extraordinary Income/Loss
Third Quarter Non-Operating Income/Loss & Extraordinary Income/Loss FY2009.3 (3Q) FY2008.3 (3Q) actual FY2009.3 (3Q) actual (previous projections) (Billions of yen) Non-operating income/loss Net financial income 0 0.1 0 Other -0.5 -1.3 -1.0 Total -0.5 -1.2 -1.0 Extraordinary income/loss Gain on sale
Slide 25: Full-Year Non-Operating Income/Loss & Extraordinary Income/Loss
Full-Year Non-Operating Income/Loss & Extraordinary Income/Loss FY2008.3 FY2009.3 FY2009.3 actual (new projections) (previous projections) ・Yamaha Motor Co., Ltd. ・ Yamaha Motor Co., Ltd. (Billions of yen) Non-operating income/loss dividend 1.7 dividend 1.1 Net financial income 2.9 2.0 2.4 Other -3.
Slide 26: Musical Instrument and Professional Audio Equipment Sales in the Japanese Market
Yamaha Musical Instrument and Professional Audio Equipment Sales in the Japanese Market (Billions of yen) 140.2 136.8 136.5 150 (104%) (98%) (100%) 135.0 132.1 (99%) (98%) 107.6 (103%)102.9 102.2 101.8 100.7 (96%) (99%) (100%) (99%) 100 Music schools, etc. 50 45.4 56.9 51.7 Yamaha (110%) 40.4 38.5 3
Slide 27: Musical Instrument and Professional Audio Equipment Sales in the U.S. Market
Yamaha Musical Instrument and Professional Audio Equipment Sales in the U.S. Market (Millions of US$) 600 555 544 536 (104%) (98%) 525 (104%) (97%) 500 443 406 417 399 (84%) (104%) (106%) (103%) 389 400 (97%) 332 (85%) 300 200 100 0 FY05.3 FY06.3 FY07.3 FY08.3 FY09.3 FY05.3 FY06.3 FY07.3 FY08.3 FY09
Slide 28: Musical Instrument and Professional Audio Equipment Sales in the German Market
Yamaha Musical Instrument and Professional Audio Equipment Sales in the German Market (Millions of euro) 120 99 100 100 94 95 (104%) (101%) (100%) 85 (93%) (101%) 90 80 82 76 76 (104%) (9７%) (103%) (94%) (100%) 60 30 0 FY05.3 FY06.3 FY07.3 FY08.3 FY09.3 FY05.3 FY06.3 FY07.3 FY08.3 FY09.3 (projection
Slide 29: Musical Instrument and Professional Audio Equipment Sales in the Chinese Market
Yamaha Musical Instrument and Professional Audio Equipment Sales in the Chinese Market (Millions of yuan) 1,000 892 (110%) 808 (119%) 800 700 679 (111%) 628 (113%) 599 (120%) 550 (109%) 600 524 (120%) 458 (114%) 422 (109%) （121%） 400 200 0 FY05.3 FY06.3 FY07.3 FY08.3 FY09.3 FY05.3 FY06.3 FY07.3 FY08
Slide 30: Musical Instruments: Sales and Income by Quarter
Musical Instruments: Sales and Income by Quarter Net Sales: ¥326.0 billion Net Sales: ¥340.0 billion Net Sales: ¥308.5 billion Operating Income: ¥22.0 billion Operating Income: ¥27.9 billion Operating Income: ¥17.5 billion (Billions of yen) 93.0 88.7 88.8 85.2 81.5 79.9 82.0 81.2 75.9 76.2 77.7 Othe
Slide 31: AV/IT: Sales and Income by Quarter
AV/IT: Sales and Income by Quarter Net Sales: ¥72.8 billion Net Sales: ¥70.8 billion Net Sales: ¥58.0 billion Operating Income: ¥2.1 billion Operating Income: ¥1.8 billion Operating Income: -¥0.5 billion (Billions of yen) 22.7 22.9 18.8 18.5 16.0 16.5 16.6 15.2 15.2 14.2 13.8 11.1 1.9 1.9 1.1 1.1 0.
Slide 32: Electronic Devices: Sales and Income by Quarter
Electronic Devices: Sales and Income by Quarter Net Sales: ¥54.8 billion Net Sales: ¥45.0 billion Net Sales: ¥22.5 billion Operating Income: ¥3.1 billion Operating Income: ¥1.9 billion Operating Income: -¥3.0 billion (Billions of yen) 14.4 14.4 13.6 14.0 13.5 12.9 3.6 3.8 4.7 4.7 4.5 Electronic meta
Slide 33: Lifestyle-Related Products: Sales and Income by Quarter
Lifestyle-Related Products: Sales and Income by Quarter Net Sales: ¥46.6 billion Net Sales: ¥45.5 billion Net Sales: ¥44.5 billion Operating Income: ¥1.2 billion Operating Income: ¥0.6 billion Operating Income: ¥0 billion (Billions of yen) 12.9 12.6 11.6 11.5 12.1 10.8 11.2 11.4 11.1 10.5 10.5 10.3
Slide 34: Others: Sales and Income by Quarter
Others: Sales and Income by Quarter Net Sales: ¥50.2 billion Net Sales: ¥47.4 billion Net Sales: ¥31.5 billion Operating Income: -¥0.7 billion Operating Income: ¥0.6 billion Operating Income: -¥2.5 billion (Billions of yen) 14.7 13.3 13.3 11.9 4.6 12.1 11.3 4.2 4.7 10.7 10.3 10.3 1.5 4.0 1.2 4.9 1.8
Slide 35: 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