Having hit the half-way stage of its current fiscal year on 30 June, Yamaha’s motorcycle business has plenty to celebrate. BDN financial editor Roger Willis reports.
Six months in, total revenue was 16.2% up to £4.362bn. Within that, turnover from developed markets grew by 19.4% to £1.215bn. Asian emerging markets put on 6.6% to £2.329bn. Latin America and other regions went relatively ballistic, soaring by 48.3% to £817.5m. Operating profit generated by motorcycles sky-rocketed, 71.1% up to £544.9m. Operating margin rose from 8.5% to 12.5%.
However, global unit sales volume only increased by 1.2% to 2.491 million, owing to a mixed picture from emerging markets. Overall Asian volume was 2.7% down to 1.908 million. Brazil, India and Indonesia performed well, beating forecasts with respective 26%, 25% and 10% gains. And Vietnam bottomed out of a Q1 downturn to rebound by 15%. But Thailand, the Philippines and China — all suffering economic issues — posted respective volume losses of 24%, 20% and 38%. A better model mix for some relieved financial stress.
Elsewhere, the big developed markets were generally upbeat. North American volume was 13.3% up to 51,000 and associated revenue climbed by 34.5% to £296.8m. In European countries, unit sales were 9.9% higher at 133,000 and revenue 20% up to a plump £756.1m. The Japanese domestic market blotted its copybook, though. Unit headcount fell by 4.7% to 36,000 and and related turnover was 7.7% lower at £114.8m.
Second-half forecasts waxed lyrical about improved profitability due to increasing sales of premium segment models and stable, growing demand in major markets. But the results statement assiduously avoided crunching any revised hard numbers. Inevitably, the standard qualification waffle about external environment uncertainties — forex rate trends, rising global input prices, interest rates and intensifying competition — were stirred into Yamaha’s corporate cauldron.
Yen-Sterling currency translation at forex rates applicable on 13 August