MAZDA MOTOR CORPORATION FY2005 THIRD QUARTER RESULTS AND FULL YEAR PROJECTIONS February 10, 2006 1 FY2005 Third Quarter Results & Full Year Projections
OUTLINE FY2005 Nine Months Results FY2005 Full Year Projections Close 2 FY2005 Third Quarter Results & Full Year Projections
FY2005 NINE MONTHS RESULTS 3 FY2005 Third Quarter Results & Full Year Projections
FY2005 NINE MONTHS HIGHLIGHTS Operating Profit up 31% to 83.7 Billion Wholesales up 3% New Roadster/MX-5 Named Car Of The Year in Japan and Australia Net Income up 58% to 41.3 Billion 4 FY2005 Third Quarter Results & Full Year Projections
FY2005 NINE MONTHS FINANCIAL METRICS (Billion yen) Nine Months Change FY2005 FY2004 Amount Pct. Operating Profit 83.7 64.1 19.6 31 % Ordinary Profit 68.0 54.9 13.1 24 % Profit Before Tax 86.9 50.3 36.6 73 % Net Income 41.3 26.1 15.2 58 % Operating ROS 4.0% 3.2% 0.8 Pts - EPS (Yen/Share) 32.5 21.4 11.1 52 % 5 FY2005 Third Quarter Results & Full Year Projections
KEY ASSUMPTIONS Nine Months FY2005 FY2004 Change WHOLESALES (000) Consolidated 834 810 3 % REVENUE ( Bils) 2,093.4 2,006.2 4 % EXCHANGE RATES Yen / U.S. Dollar 112 109 3 Yen / Euro 137 135 2 6 FY2005 Third Quarter Results & Full Year Projections
REVENUE CHANGES BY DESTINATION FY2005 9 Months Compared with FY2004 9 Months 6% 5% 4 % Vol. & Mix 2 % Exchange 2 % 5 % 4% 3 % 3% 2% 1% 0% (Billion yen) Total Domestic Overseas FY05 2,093.4 630.2 1,463.2 FY04 2,006.2 612.1 1,394.1 7 FY2005 Third Quarter Results & Full Year Projections
JAPAN Nine Months FY2005 FY2004 Change Retail Volume (000) 199 196 2 % Market Share 4.9 % 4.8 % 0.1 Pts New Premacy and New Roadster 8 FY2005 Third Quarter Results & Full Year Projections
UNITED STATES Nine Months FY2005 FY2004 Change Retail Volume (000) 194 200 (3) % Market Share 1.5 % 1.6 % (0.1) Pts Lower Light Truck Sales 9 FY2005 Third Quarter Results & Full Year Projections
EUROPE Nine Months FY2005 FY2004 Change Retail Volume (000) 197 201 (2) % Market Share 1.5 % 1.5 % 0.0 Pts Regaining Sales Momentum in Second Half 10 FY2005 Third Quarter Results & Full Year Projections
CHINA Nine Months FY2005 FY2004 Change Retail Volume (000) 102 64 59 % Market Share 2.2 % 1.6 % 0.6 Pts Record Sales Achieved 11 FY2005 Third Quarter Results & Full Year Projections
OPERATING PROFIT CHANGES FY2005 Nine Months Compared with FY2004 Nine Months Billion Yen 30 20 10 19.6 12.6 Wholesales up 3% with New Products 9.5 25.0 0 (10) (20) (30) Total Oper. FY05 83.7 FY04 64.1 (21.1) Vol & Mix Exch. Product Enhanc. CR (4.0) (2.4) Mktg. Exp. Other Costs 12 FY2005 Third Quarter Results & Full Year Projections
OPERATING PROFIT CHANGES FY2005 Nine Months Compared with FY2004 Nine Months Billion Yen 30 20 10 19.6 12.6 9.5 US$ 3.8 Euro 2.8 Other 2.9 25.0 0 (10) (20) (30) Total Oper. FY05 83.7 FY04 64.1 (21.1) Vol & Mix Exch. Product Enhanc. CR (4.0) (2.4) Mktg. Exp. Other Costs 13 FY2005 Third Quarter Results & Full Year Projections
OPERATING PROFIT CHANGES FY2005 Nine Months Compared with FY2004 Nine Months Billion Yen 30 19.6 20 12.6 10 Cost Product Reductions 25.0 Upgrades incl. Net of Raw New Features. Material Price Increases 9.5 0 (10) (20) (30) Total Oper. FY05 83.7 FY04 64.1 (21.1) Vol & Mix Exch. Product Enhanc. CR (4.0) (2.4) Mktg. Exp. Other Costs 14 FY2005 Third Quarter Results & Full Year Projections
OPERATING PROFIT CHANGES FY2005 Nine Months Compared with FY2004 Nine Months Billion Yen 30 20 10 19.6 12.6 9.5 25.0 Higher R&D and Depreciation 0 (10) (20) (30) Total Oper. FY05 83.7 FY04 64.1 (21.1) Vol & Mix Exch. Product Enhanc. CR (4.0) (2.4) Mktg. Exp. Other Costs 15 FY2005 Third Quarter Results & Full Year Projections
FY2005 FULL YEAR PROJECTIONS 16 FY2005 Third Quarter Results & Full Year Projections
FY2005 FULL YEAR OUTLOOK Operating Profit Projection Raised to 118 Billion, up 42% on Prior Year Wholesales up 4% Launch of New MPV in Japan Net Income up 31% 17 FY2005 Third Quarter Results & Full Year Projections
FULL YEAR FINANCIAL METRICS (Billion yen) Full Year Change FY2005 FY2004 Amount Pct. Operating Profit 118.0 82.9 35.1 42 % Ordinary Profit 100.0 73.1 26.9 37 % Profit Before Tax 110.0 73.8 36.2 49 % Net Income 60.0 45.8 14.2 31 % Operating ROS 4.1% 3.1% 1.0 Pts - EPS (Yen/Share) 44.4 37.6 6.8 18 % 18 FY2005 Third Quarter Results & Full Year Projections
KEY ASSUMPTIONS Full Year FY2005 FY2004 Change WHOLESALES (000) Consolidated 1,152 1,104 4 % REVENUE ( Bils) 2,890.0 2,695.6 7 % EXCHANGE RATES Yen / U.S. Dollar 113 108 5 Yen / Euro 137 135 2 19 FY2005 Third Quarter Results & Full Year Projections
REVENUE CHANGES BY DESTINATION FY2005 Compared with FY2004 10 % Vol. & Mix 5% Exchange 2% 9% 8% 7% 6% 4% 3% 2% 0% (Billion yen) Total Domestic Overseas FY05 2,890.0 870.0 2,020.0 FY04 2,695.6 845.6 1,850.0 20 FY2005 Third Quarter Results & Full Year Projections
JAPAN Full Year FY2005 FY2004 Change Retail Volume 286 286 0 % Market Share 4.9 % 4.9 % 0.0 Pts New MPV Introduced 21 FY2005 Third Quarter Results & Full Year Projections
UNITED STATES Full Year FY2005 FY2004 Change Retail Volume (000) 264 264 0 % Market Share 1.6 % 1.6 % 0.0 Pts Strong Mazda3 Demand 22 FY2005 Third Quarter Results & Full Year Projections
EUROPE Full Year FY2005 FY2004 Change Retail Volume (000) 285 273 5 % Market Share 1.6 % 1.5 % 0.1 Pts New Mazda5 and New MX-5 23 FY2005 Third Quarter Results & Full Year Projections
CHINA Full Year FY2005 FY2004 Change Retail Volume (000) 130 96 36 % Market Share 2.2 % 1.8 % 0.4 Pts Market Share Growing 24 FY2005 Third Quarter Results & Full Year Projections
OPERATING PROFIT CHANGES Billion Yen 40 30 20 10 0 (10) (20) (30) (40) 35.1 Total Oper. FY2005 Compared with FY2004 22.7 FY05 118.0 FY04 82.9 Wholesales up 4% with New Products 17.4 (28.2) Vol & Mix Exch. Product Enhanc. 30.3 CR (4.0) (3.1) Mktg. Exp. Other Costs 25 FY2005 Third Quarter Results & Full Year Projections
OPERATING PROFIT CHANGES Billion Yen 40 30 20 10 0 (10) (20) (30) (40) 35.1 Total Oper. FY2005 Compared with FY2004 22.7 FY05 118.0 FY04 82.9 17.4 US$ 8.1 Euro 2.5 Other 6.8 (28.2) Vol & Mix Exch. Product Enhanc. 30.3 CR (4.0) (3.1) Mktg. Exp. Other Costs 26 FY2005 Third Quarter Results & Full Year Projections
OPERATING PROFIT CHANGES Billion Yen 40 30 20 10 0 (10) (20) (30) (40) 35.1 Total Oper. FY2005 Compared with FY2004 22.7 FY05 118.0 FY04 82.9 Product Upgrades incl. New Features. 17.4 (28.2) Vol & Mix Exch. Product Enhanc. 30.3 CR Cost Reductions Net of Raw Material Price Increases (4.0) (3.1) Mktg. Exp. Other Costs 27 FY2005 Third Quarter Results & Full Year Projections
OPERATING PROFIT CHANGES Billion Yen 40 30 20 10 0 (10) (20) (30) (40) 35.1 Total Oper. FY2005 Compared with FY2004 22.7 FY05 118.0 FY04 82.9 17.4 (28.2) Vol & Mix Exch. Product Enhanc. 30.3 CR Higher R&D and Depreciation (4.0) (3.1) Mktg. Exp. Other Costs 28 FY2005 Third Quarter Results & Full Year Projections
CLOSE 29 FY2005 Third Quarter Results & Full Year Projections
IN SUM Operating Profit up 31% to 83.7 Billion in First Nine Months Full-year Operating Profit Projection Raised to 118 Billion, up 42% on Prior Year Continue Progress and Foundation Building Under Mazda Momentum 30 FY2005 Third Quarter Results & Full Year Projections
APPENDIX 31 FY2005 Third Quarter Results & Full Year Projections
FY2005 THIRD QUARTER FINANCIAL METRICS (Billion yen) Third Quarter Change FY2005 FY2004 Amount Pct. Operating Profit 34.9 20.6 14.3 69 % Ordinary Profit 24.6 18.0 6.6 37 % Profit Before Tax 23.7 16.8 6.9 42 % Net Income 10.2 7.4 2.8 38 % Operating ROS 4.7% 3.0% 1.7 Pts - EPS (Yen/Share) 7.6 6.0 1.6 26 % 32 FY2005 Third Quarter Results & Full Year Projections
KEY ASSUMPTIONS Third Quarter FY2005 FY2004 Change WHOLESALES (000) Consolidated 277 280 (1) % REVENUE ( Bils) 741.5 685.6 8 % EXCHANGE RATES Yen / U.S. Dollar 117 106 11 Yen / Euro 139 137 2 33 FY2005 Third Quarter Results & Full Year Projections
OPERATING PROFIT CHANGES FY2005 Third Quarter Compared with FY2004 Third Quarter Billion Yen 20 10 14.3 10.2 Stronger Product Mix and Lower Marketing Incentives 5.4 8.1 0 FY05 34.9 FY04 20.6 (1.9) 0.9 (10) Total Oper. (8.4) Vol & Mix Exch. Product Enhanc. CR Mktg. Exp. Other Costs 34 FY2005 Third Quarter Results & Full Year Projections
35 FY2005 Third Quarter Results & Full Year Projections
DISCLAIMER The projections for FY 2005 and future strategies shown in this presentation are based on various uncertainties including without limitation the conditions of the world economy in the future, the trend of the automotive industry and the risk of exchange-rate fluctuations. So, please be aware that Mazda's actual performance may differ substantially from the projections. If you are interested in investing in Mazda, you are requested to make a final investment decision at your own risk, taking the foregoing into consideration. Please note that neither Mazda nor any third party providing information shall be responsible for any damage you may suffer due to investment in Mazda based on the information shown in this presentation. 36 FY2005 Third Quarter Results & Full Year Projections