Yanmar Announces Fiscal 2015 Business Results and Fiscal 2016 Forecast
June 7, 2016
Yanmar Holdings Co., Ltd.
In Fiscal 2015, amongst developed countries, domestic demand led to stabilization of the American and European economies. However, a downturn in economic growth in China unfavorably impacted emerging countries, resulting in an overall slowdown in economic growth. In Japan, corporate performances continued to improve, however this was negatively offset by weak consumer spending, resulting in a flattening out of the economy. Due to the possibility of an additional interest rate hike in the US and the further worsening of the Chinese economy, a focus will be on the economic trends of both of these countries. Against this backdrop to ensure long term growth of the Yanmar Group, our major activities in fiscal 2015 were as follows:
1.Fiscal 2015 Results
Increase Net Sales and Market Share Compared to FY2014 in the Key Markets of Yanmar’s Business Segments
- Intensified dealings with customers, by providing solutions through collaboration amongst Yanmar’s business segments
- Expanded new business operations and analyzed other opportunities for their potential
Create a Solid Structure Ensuring Growth of the Group
- Executed financial strategies to deliver optimal funding aimed toward boosting corporate value
- Reorganized manufacturing, inventory, and sales management resulting in reduced lead times
Consistently Provide Products and Services that Exceed Customer Expectations
- Intensified concurrent product development and prevented quality issues
- Leveraged SmartAssist telematics to intensify the aftersales business
Continued Regional Contributions to Make the World a Better Place
- Executed regional environmental conservation efforts
- Deployed undertakings that contribute to society
In this regard, fiscal 2015 consolidated Group results indicate Net Sales of ¥703.8 billion, an increase of 7.5% over the previous fiscal year. Ordinary Profit was ¥23.5 billion, a decrease of 40.6% on the previous fiscal year, with a 3.3% ROS. Shareholders' Equity was ¥9.3 billion, a 60.3% drop compared to the previous fiscal year. Net Sales outside Japan rose 14.6% to ¥331 billion, amounting to 47% of consolidated Group Net Sales.
2.Fiscal 2016 Projection
Currently, consolidated Group Net Sales are projected to be ¥805 billion; Operating Profit is projected to be ¥31 billion with an Ordinary Profit of ¥30 billion. Shareholders' Equity is projected to be ¥16 billion.
(In fiscal 2016, a portion of Yanmar’s overseas subsidiary companies will change their accounting period. As a result, the Yanmar Group consolidated accounting period will end in March. For overseas subsidiary companies where the accounting period had ended in December, their accounting period will be 15 months (January 1, 2016—March 31, 2017), while for overseas subsidiary companies where the accounting period ends in March, their accounting period will remain as 12 months (April 1, 2016—March 31, 2017). In accordance with this change, percentages relating to increases and decreases on the previous fiscal year have not been included.
With beginnings in Osaka, Japan in 1912, Yanmar was the first ever to succeed in making a compact diesel engine of a practical size in 1933. Moving on, with industrial diesel engines as the cornerstone of the enterprise, Yanmar has continued to expand its product range, services, and expertise to deliver total solutions as an industrial equipment manufacturer. As a provider of small and large engines, agricultural machinery and facilities, construction equipment, energy systems, marine, machine tools, and components — Yanmar’s global business operations span seven domains.
On land, at sea, and in the city, Yanmar’s Mission of “providing sustainable solutions focused on the challenges customers face, in food production and harnessing power, thereby enriching people’s lives for all our tomorrows,” stands testament to Yanmar’s determination to provide us with “A Sustainable Future.” For more information, visit Yanmar Co., Ltd. at its global website at https://www.yanmar.com/global/about/.
Public Relations Group
Brand Communication Division, Yanmar
- Note: Information contained in the news release is valid at the time of publication and may differ from the most recently available information.