Strong First Half Financial Results
Nov 6th 2006
MAZDA REPORTS STRONG FIRST HALF FINANCIAL RESULTS
OPERATING PROFIT UP 43 PERCENT YEAR-ON-YEAR
Full-year outlook revised upwards plan
- First-half consolidated sales revenue up 13
percent year-on-year to 1.52 trillion yen.
- Consolidated operating profit up 43 percent to 69.8 billion yen.
- Full-year operating profit outlook revised upwards to 148 billion yen.
Mazda Motor Corporation has announced that its fiscal year 2006 full-year forecast was being revised upwards based on record levels of consolidated revenue, operating profit and ordinary profit that were reached in the first half of FY2006.
FY2006 First Half
Mazda’s consolidated revenue increased 13 percent in the April-September period to 1.52 trillion yen. In spite of a rapid rise in the cost of raw materials, consolidated operating profit rose 43 percent year-on-year to 69.8 billion yen, a 21 billion yen improvement, largely supported by an improved model mix and volume, favorable currency exchange rates and cost reductions. Ordinary profit increased by 31 percent to 56.6 billion yen compared to the same period last year. Net income was 27.2 billion yen, down 12 percent year-on-year, due to an extraordinary gain during the first half of the last fiscal year from the transfer of the substitutional portion of Mazda’s employee pension fund liabilities to the Japanese government. Excluding the one-time impact of the gain from the pension fund transfer and impairment losses, net income was up 18 percent.
New Zealand Performance
Mazda New Zealand Managing Director, Andrew Clearwater, said: “It is another very good result for the company and mirrors the performance of the company in New Zealand where we are continuing to experience strong demand for Mazda vehicles. In October we had our best month of the year with 575 retails resulting in six percent market share.
“With the upcoming launch of our new crossover vehicle the CX-7 and the Bounty’s replacement the BT50 we expect sales to remain buoyant.”
Full-year Profit Projections for FY2006 revised
Mazda is now forecasting a rise of 3 percent in global wholesales to 1.18 million units in FY2006 following a downward revision since the last financial projections were released. Consolidated revenue is projected to increase by 8 percent year-on-year to 3.15 trillion yen, with full-year operating profit expected to rise 20 percent to 148 billion yen, and consolidated net income up 23 percent to 82 billion yen.
FY2006 Financial Projections:
Sales revenue: 3.15 trillion yen, up 230.2 billion (8 percent) on FY2005
Operating profit: 148.0 billion yen, up 24.6 billion yen (20 percent) on FY2005
Ordinary profit: 140.0 billion yen, up 38.5 billion yen (38 percent) on FY2005
Net income: 82.0 billion yen, up 15.3 billion yen (23 percent) on FY2005
FY2006 First Half Financial Results Unit: millions
Yen US$ Euro
Revenue 1,521,400 12,904.2 10,154.9
Operating profit 69,800 592.0 465.9
Ordinary profit 56,600 480.1 377.8
Net income 27,200 230.7 181.6
-Dollar equivalents compiled at 117.90 yen to the dollar (Exchange rate prevailing on Sept.30, 2006).
-Euro equivalents compiled at 149.82 yen to the Euro (Exchange rate prevailing on Sept.30, 2006).