Nine months into Kawasaki’s 2022/23 fiscal year, its former motorcycle and engine division has been remonikered as the powersports and engine segment. Presumably, this flash of Yankee-doodle-dandy is to celebrate US status as most lucrative market for the brand, among a prospering plethora of other operations. BDN financial editor Roger Willis reports.
Total revenue for the three quarters to date was 33.7% higher at £2.611bn. Wholesale motorcycle turnover from developed countries rose by 24.7% to £880.6m. Motorcycles for emerging markets were 18% up to £542.3m. Utility and recreational off-road vehicles, quadbikes and personal watercraft — mainly destined for North America — delivered a 50.2% increase to £712.1m. General-purpose petrol engines added £475.9m, a 52% improvement.
Overall operating profit for the period surged by 78.4% to £339m. Operating margin increased from 9.7% to 12.9%.
In terms of unit volume, wholesale motorcycle shipments to the developed world were 14.6% up to 157,000. The USA was top target, leaping by 44.6% to 81,000. Canada added 60% to 8000. Europe fell by 15.6% to 38,000, on the back of previously acknowledged supply-chain bottlenecks. Australia was also in arrears, 11.1% down to 8000. Kawasaki’s Japanese domestic market flatlined on 20,000.
The quantity of motorcycles aimed at emerging countries grew by 22.1% to 238,000. The Philippines and Indonesia were leaders, respectively 49.1% up to 158,000 and 6.5% up to 33,000. China dropped by 33.3% to 20,000. Brazil flatlined on 7000 and Thailand plunged by 60% to just 2000. Other markets were 15.4% up to 15,000.
Global ORV, ATV and PWC wholesale added 10.9% to 61,000 units.
Full-year forecasts to 31 March 2023 were revised upwards in the middle of Q3. Estimated annual revenue was raised from £3.472bn to £3.724bn, with burgeoning motorcycle sales in developed countries taking the credit. This should translate into a 31.7% year-on-year increase. Predicted segmental operating profit also got a boost from £353.5m to £429.2m, thanks to higher revenue and lower supply-chain risk, yielding a 81.3% earnings gain and operating margin of 11.5%. FY motorcycle deliveries to dealers worldwide are anticipated to be 565,000.
On the fantasy future front line, Kawasaki says it is accelerating development of battery-electric and hydrogen-electric products, as well as pursuing joint research on hydrogen engines with Toyota, Denso and four other bike manufacturers.  Â