Yamaha Motor (7272) Q3 2024 earnings summary

Executive summary

• Revenue rose to ¥1,976.9 billion, up 7.7–8% year-over-year, with operating income at ¥201.0 billion, nearly flat year-over-year; net income declined to ¥136.1 billion, down 4.8–5% due to FX losses and higher interest expenses.

• Motorcycle sales in Brazil, India, and Indonesia drove growth, while marine, RV, and SPV segments saw declines.

• Robotics business benefited from AI-related demand, narrowing its deficit, but recovery was slower than expected.

• Full-year 2024 revenue and profit guidance revised downward; annual dividend forecast unchanged.

• Significant events included a new personnel system, collaboration with Caterham on EVs, and the Torqeedo acquisition for marine electrification.

Financial highlights

• Q3 revenue was ¥1,976.9 billion (up 7.7–8% YoY); operating income ¥201.0 billion (up 0.8–1% YoY); net income ¥136.1 billion (down 4.8–5% YoY).

• Operating income ratio for Q3 was 10.2%, down 0.7 points year-over-year.

• EPS for Q3 was ¥138.49, down 2–3% YoY.

• Free cash flow improved to ¥96.4 billion from ¥21.7 billion YoY.

• Cash and cash equivalents at period end: ¥359.8 billion; equity ratio improved to 43.2%.

Outlook and guidance

• Full-year 2024 revenue forecast revised to ¥2,600.0 billion; operating income to ¥235.0 billion; net income to ¥160.0 billion; EPS to ¥163.04.

• Annual dividend forecast remains unchanged at ¥50 per share.

• Continued production reductions expected in RV and SPV businesses due to inventory adjustments.

• Robotics demand recovery slower than expected; business structure review underway for next fiscal year.

• Guidance reflects treasury share purchases and current business conditions.