YANMAR Announces 2013 Fiscal Year Business Results and 2014 Fiscal Year Forecast
June 17, 2014
Yanmar Co., Ltd.
In the 2013 fiscal year, economic growth in Asia was stilted by China’s worsening financial problems and political turmoil in Thailand. On the other hand, the United States’ recovery continued, and Europe’s economy experienced an upward swing, suggesting that developed nations are on the path to recovery.
In Japan, the economy held strong due to a buying frenzy among consumers before the rise in consumption tax and due to increasing market demand from Europe and the U.S. for exports. Devaluation of the yen and high stock prices also helped economic recovery. However, drops in Japanese domestic demand are projected in 2014 following the consumption tax increase.
Due to these scenarios, in April 2013, the YANMAR Group shifted to a pure holding company structure in order to improve the group’s management and strengthen competitiveness. Our major activities in fiscal 2013 were as follows:
2013 Fiscal Year Results
Ensure Further Business Growth
Started a comprehensive project for the elevation of the YANMAR brand to premium standards with a focus on improving products, after-sales service and overall communication channels.
Increased local manufacturing and expanded sales operations in Southeast Asia and China.
Provided services focused on conducting regular inspections and maintenance to diminish machine downtime, and developed new products and services that utilize ICT.
Constructed and started employment of a global business management system.
Formed a plan for an environmentally sustainable business model that supports the development and maintenance of communities and society.
Performed mergers and acquisitions aimed at expanding business domains.
Transform towards a System Structure that Ensure Profitability
Improved profitability by reorganizing manufacturing at factories in Japan and decreasing manufacturing costs.
Continued to reduce costs in the corporate sector.
In this regard, the 2013 fiscal year consolidated group results indicate net sales of ¥650.7 billion, up 12.8 percent from the 2012 fiscal year. Ordinary profit came in at ¥44.8 billion, an increase of 25.1 percent on the previous year. Return on sales reached 6.9% percent, and net profit for the period increased 43.4 percent from the 2012 fiscal year to ¥29.8 billion.
Net sales outside Japan rose 12.9 percent to ¥249 billion, making up 38.3% of consolidated group net sales.
2014 Fiscal Year Forecast
Currently, consolidated group net sales are forecasted to increase 4.5 percent to ¥680 billion, operating profit is projected to decrease by 1.3 percent to ¥43 billion, ordinary profit is expected to decrease 5.3 percent to ¥42.5 billion and net profit is expected to equal ¥24.3 billion over the period, a decrease of 18.6 percent.
Note: Information contained in News Releases is valid at the time of publication and may differ from the most recently available information.
Public Relations Group
General Affairs Div., YANMAR Co., Ltd.