Suzuki Announces Financial Results for FY2021 Second Quarter
(April to September 2021)
- Net sales and profit increased in April-September, decreased in July–September, mainly owing to production decrease due to parts shortage including semiconductors
- Downward revision in sales volume and net sales forecasts, operating profit forecast kept unchanged, mainly from depreciation of Yen and cost reduction efforts
- Interim dividend up by ¥8 to ¥45 per share year-on-year, annual dividend kept TBD, as outlook for sales volume remains unclear
1. Outline of Financial Results for FY2021 April–September period
In April-September period, net sales and profit increased year-on-year (YoY), mainly owing to a significant deterioration in business performance in the same period of the previous year due to the impact of the COVID-19. Net sales increased by ¥403.4 billion (31.8%) to ¥1,673.6 billion YoY, operating profit increased by ¥24.2 billion (32.3%) to ¥99.1 billion YoY, ordinary profit increased by ¥52.0 billion (54.2%) to ¥148.2 billion YoY, and profit attributable to owners of parent increased by ¥46.2 billion (85.0%) to ¥100.5 billion YoY.
2. Outline of Financial Results for FY2021 July–September period
(1) Outline of Financial Results
In July-September period, net sales decreased by ¥16.7 billion (2.0%) to ¥828.2 billion YoY, mainly owing to production decrease due to parts shortage including semiconductors and the impact of the COVID-19. Operating profit decreased by ¥29.0 billion (39.3%) to ¥44.6 billion YoY, mainly owing to increase in raw material prices in addition to production decrease. Ordinary profit decreased by ¥44.3 billion (54.2%) to ¥37.4 billion, and profit attributable to owners of parent decreased by ¥36.8 billion (70.0%) to ¥15.7 billion, partly owing to impairment losses on domestic land of ¥9.5 billion.
(2) Operating Results by Segment
1) Automobile business
Net sales decreased by ¥26.6 billion (3.5%) to ¥739.8 billion YoY, and operating profit decreased by ¥33.2 billion (47.9%) to ¥36.0 billion YoY, mainly owing to production decrease and increase in raw material cost.
2) Motorcycle business
Net sales increased by ¥7.3 billion (13.6%) to ¥61.5 billion YoY, and operating profit became positive recording ¥2.5 billion, mainly owing to the impact of the new Hayabusa launch and continued improvement of motorcycle business structure.
3) Marine business
Net sales increased by ¥2.7 billion (12.6%) to ¥23.9 billion YoY, and operating profit increased by ¥1.2 billion (30.6%) to ¥5.4 billion YoY, owing to the continued strong sales of outboard motors in North America.
4) Operating results by geographic region
Operating profit decreased YoY in Japan, Europe and Asia, mainly owing to production decrease and increase in raw material cost.
3. Forecast of Full-Year Financial Results for FY2021
The Company is placing efforts to minimize effect on production output arising from parts shortage including semiconductors and to deliver as many products as possible to our customers. Meanwhile, effect on production output is still unclear. Therefore, with respect to full-year forecasts for FY2021, we revised downward the sales volume and net sales figures. However, despite expected decrease in production, operating profit is kept unchanged from the previous forecasts, taking into account the depreciation of Yen and cost reduction efforts.
(Forecasts of full-year financial results for FY2021)
| Net Sales | ¥3,200.0 billion | (up 0.7% YoY, down ¥200.0 billion from the previous forecast) |
|---|---|---|
| Operating Income | ¥170.0 billion | (down 12.6% YoY, unchanged from the previous forecast) |
| Ordinary Income | ¥220.0 billion | (down 11.4% YoY, unchanged from the previous forecas) |
| Net Income attributable to owners of the parent |
¥150.0 billion | (up 2.4% YoY, unchanged from the previous forecas) |
| (Foreign Exchange Rate) | ¥110/US$, ¥130/Euro, ¥1.49/Indian Rupee | |
4. Dividend
The interim dividend was decided as ¥45 per share, an increase of ¥8 YoY. With regard to the annual dividend, we will maintain undecided, due to uncertainty of the impact of parts shortage including semiconductors.
*Forecasts for the consolidated operating results are based on currently available information and assumptions, contain risks and uncertainty and do not constitute guarantees of future achievement. Please note that the actual results may greatly vary by the changes of various factors. Those factors, which may influence the future results, include economic conditions and the trend of demand in major markets and the fluctuations of foreign exchange rates (mainly U.S. dollar/Yen rate, Euro/Yen rate, Indian Rupee/Yen rate).
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