After almost a decade in the red, Suzuki Motor Corporation’s motorcycle business has returned to profitability, as detailed by full-year results to 31 March 2018. BDN financial editor Roger Willis reports.
Worldwide annual revenue from bikes grew by 19.4% to £1.653bn. Associated operating profit was £31m, against a loss of £6m in the previous fiscal year.
Production was 19% up to 1.63 million machines and sales volume rose by 15.5% to a global total of 1.58 million. Asian performance was the main driver, adding 21.3% to 1.261 million. Revenue from Asia climbed by 30.9% to £756m.
Within that, India became Suzuki’s largest market in front of China and Indonesia, increasing by 43% to about half a million units. Success was attributed particularly to a new Access 125 scooter and an Intruder mini-cruiser. Indian sales have a much better yield too, because they are made by a wholly-owned subsidiary, whereas Chinese and Indonesian Suzuki-branded bikes are produced by JV affiliates.
Revenue from Europe improved sharply by 19.2% to £295m, although European sales volume declined by 11.1% to 40,000 units. North America, encompassing the US and Canada, achieved a 9.4% volume rise to 35,000 and 10.4% revenue growth to £221m.
For its latest fiscal year through to 31 March 2019, Suzuki is predicting an overall 4.2% sales volume increase to 1.646 million bikes. The European forecast is for a 25% lift to 50,000. North America is expected to put on 14.3% to 40,000 and Asia 4.4% to 1.317 million. Â
 Â
Â