Suzuki Improves First-Half FY2010
Suzuki Motor Corporation records increases both in sales and profit for the first half (April through Sept 2010) of FY2010 despite continued severe market condition.
The Suzuki Group achieved consolidated sales of ¥1,318.8 billion (up ¥137.2 billion, 111.6% y-o-y) thanks to increased automobile sales in Japan and increased motorcycle sales in Asia despite automobile and motorcycle sales decrease in North America and Europe.
As for consolidated profits, the Group achieved operating income of ¥68.8 billion (up ¥37.0 billion y-o-y), ordinary income of ¥74.9 billion (up ¥35.8 billion y-o-y), and net income of ¥30.4 billion (up ¥17.9 billion y-o-y) because the sales increase and the cost reduction covered the reduced profits caused by the exchange influences and the increase in various expenses, R & D expenses and depreciation expenses.
As for operating results of automobile segment, sales increased to ¥1,168.5 billion (up ¥140.7 billion, 13.7% y-o-y) and operating income of ¥68.4 billion (up ¥36.1, 111.8% y-o-y) thanks to sales increased in Japan and Asian countries such as India and Indonesia.
Regarding motorcycle segment, sales of the motorcycle business decreased by ¥11.3 billion (8.0%) to ¥131.2 billion year-on-year due to the sales decline in North America, Europe and Japan although the sales increased in Asia.
As for profits, operating loss was reduced by ¥1.4 billion year-on-year because of improvement of operating results in Asia, but operating loss was ¥4.1 billion on account of the continued sales slowdown of large-size motorcycles for Europe and the US.
Sales of marine and power products, etc. business increased by ¥2.4 billion (11.4%) to ¥24.2 billion year-on-year thanks to the sales increase mainly in Europe, Asia and Oceania. Operating income also increase by ¥0.7 billion (27.2%) to ¥3.6 billion year-on-year.
Taking the situation of FY2010 first half into account, the Group has revised the consolidated business full year forecast as follows.
2010 Full-Year Forecasts for Consolidated Suzuki Operating Results (Exchange Rate: ¥100 = $1.21 USD)
- Net Sales ¥2,550 billion (up 3.3% y-o-y)
- Operating income ¥100 billion (up 26.0% y-o-y)
- Ordinary income ¥110 billion (up 17.2% y-o-y)
- Net income ¥35 billion (up 21.0% y-o-y)
- ForEx rates ¥84/US$ (1st half: ¥89, 2nd half: ¥80)
- ¥112/Euro (1st half: ¥114, 2nd half: ¥110)