Honda 2013 Annual Report Download - page 36

Net Income Attributable to Honda Motor Co., Ltd.
Net income attributable to Honda Motor Co., Ltd. increased
¥155.6 billion, or 73.6%, to ¥367.1 billion from the previous
fiscal year.
Business Segments
Motorcycle Business
Honda’s consolidated unit sales of motorcycles, all-terrain
vehicles (ATVs) totaled 9,510 thousand units, increased by
9.9% from the previous fiscal year, due mainly to an increase
in consolidated unit sales in Asia.
Revenue from external customers decreased ¥9.2 billion,
or 0.7%, to ¥1,339.5 billion from the previous fiscal year, due
mainly to negative foreign currency translation effects, which
was partially offset by increased consolidated unit sales. The
impact of price changes was immaterial. Honda estimates
that by applying Japanese yen exchange rates of the previ-
ous fiscal year to the current fiscal year, net sales for the year
would have increased by approximately ¥45.2 billion, or
3.4%, compared to the decrease as reported of ¥9.2 billion,
which includes negative foreign currency translation effects.
Operating costs and expenses increased ¥23.0 billion, or
1.9%, to ¥1,229.3 billion from the previous fiscal year. Cost of
sales increased by ¥24.0 billion, or 2.6%, to ¥963.0 billion,
due mainly to an increase in costs attributable to increased
consolidated unit sales, which was partially offset by positive
foreign currency effects. Selling, general and administrative
expenses decreased by ¥4.0 billion, or 2.0%, to ¥199.8
billion, due mainly to decreased product warranty expenses
and positive foreign currency effects, which was partially
offset by an increase in selling expenses attributable to
increased consolidated unit sales. R&D expenses increased
by ¥3.1 billion, or 4.9%, to ¥66.4 billion.
Operating income decreased ¥32.3 billion, or 22.7%, to
¥110.2 billion from the previous fiscal year, due mainly to a
negative foreign currency effects, which was partially offset
by continuing cost reduction.
Automobile Business
Honda’s consolidated unit sales of automobiles totaled 3,408
thousand units, increased by 37.3% from the previous fiscal
year, due mainly to an increase in consolidated unit sales in
all regions by recovery from the impact of the Great East
Japan Earthquake and the floods in Thailand.
Revenue from external customers increased ¥1,903.2
billion, or 32.8%, to ¥7,709.2 billion from the previous fiscal
year, due mainly to increased consolidated unit sales and
positive foreign currency translation effects. The impact of
price changes was immaterial. Honda estimates that by apply-
ing Japanese yen exchange rates of the previous fiscal year to
the current fiscal year, net sales for the year would have
increased by approximately ¥1,721.4 billion, or 29.6%, com-
pared to the increase as reported of ¥1,903.2 billion, which
includes positive foreign currency translation effects. Revenue
including intersegment sales increased ¥1,900.8 billion, or
32.6%, to ¥7,723.5 billion from the previous fiscal year.
Operating costs and expenses increased ¥1,537.6 billion,
or 26.1%, to ¥7,437.5 billion from the previous fiscal year.
Cost of sales increased by ¥1,349.6 billion, or 29.9%, to
¥5,868.2 billion, due mainly to an increase in costs attribut-
able to increased consolidated unit sales and negative foreign
currency effects. Selling, general and administrative expenses
increased by ¥151.8 billion, or 15.9%, to ¥1,105.3 billion,
due mainly to an increase in selling expenses attributable to
increased consolidated unit sales and increased product
warranty expenses. R&D expenses increased by ¥36.1 billion,
or 8.5%, to ¥464.0 billion, due mainly to improving safety and
environmental technologies and enhancing of the attractive-
ness of the products.
Operating income was ¥285.9 billion, an increase of
¥363.1 billion of operating income from the previous fiscal
year, due mainly to an increase in income attributable to
increased net sales and continuing cost reduction, which was
partially offset by increased selling, general and administrative
expenses and increased R&D expenses.
Power Product and Other Businesses
Honda’s consolidated unit sales of power products totaled
6,071 thousand units, increased by 4.3% from the previous
fiscal year, due mainly to an increase in consolidated unit
sales in North America and Asia.
Revenue from external customers increased ¥3.5 billion,
or 1.3%, to ¥280.6 billion from the previous fiscal year, due
mainly to increased consolidated unit sales of power prod-
ucts and positive foreign currency translation effects, which
was partially offset by decreased sales of other business.
Honda estimates that by applying Japanese yen exchange
rates of the previous fiscal year to the current fiscal year, net
sales for the year would have decreased by approximately
¥1.2 billion, or 0.4%, compared to the increase as reported
of ¥3.5 billion, which includes positive foreign currency
translation effects. Revenue including intersegment sales
increased ¥1.9 billion, or 0.7%, to ¥291.6 billion from the
previous fiscal year.
Net Income Attributable to Honda Motor Co., Ltd. /
Net Income Attributable to Honda Motor Co., Ltd.
per Common Share
Years ended March 31
Yen (billions) (Yen)
Net Income Attributable to Honda Motor Co., Ltd. (left)
Net Income Attributable to Honda Motor Co., Ltd. per Common Share (right)
200
400
600
0
150
300
450
0
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