Mazda 2015 Annual Report Download - page 8

have successively rolled out new-generation products
equipped with SKYACTIV TECHNOLOGY. These new-
generation products have had strong receptions in
Japan and overseas, and they are contributing to
increased sales volume and enhanced brand value. With
this robust product strength, we are improving transac-
tion prices and curtailing incentives through a policy of
right-price sales. These efforts are making a major con-
tribution to earnings.
In terms of accelerating further cost improvement
through Monotsukuri Innovation, we have integrated
planning that spans models, classes, and segments
to create common development and manufacturing
processes that makes it possible to develop and
manufacture a variety of products more efficiently. Our
new products, which take full advantage of these
“Monotsukuri” innovations, not only achieve excellent
driving performance and fuel efficiency, they are meet-
ing all our expectations in terms of cost competitiveness
as well.
We have also made steady progress in reinforcing
our business in emerging markets and establishing a
global production foundation. Our new plant in Mexico
commenced operations in January 2014, and since
then it has been steadily increasing production vol-
umes, with 140,000 units produced in the March 2015
fiscal year. We plan to raise the plant’s production to
230,000 units in the March 2016 fiscal year. The new
transmission plant in Thailand is off to a solid start
since beginning the mass production of SKYACTIV-
DRIVE transmissions in January 2015. We are also
strengthening our business in emerging markets by
creating production systems in Russia, Malaysia, and
Vietnam. We will maintain the size of our production
in Japan while steadily establishing a globally bal-
anced production and supply foundation.
With regard to promoting global alliances, our
strategy is to enter into mutually complementary alli-
ances optimal to each product, technology, and region.
In June 2015, the new Mexico plant began manufac-
turing compact cars for Toyota. We also plan to begin
the production of a two-seater convertible sports car
for Fiat Chrysler Automobiles during the March 2016
fiscal year.
These efforts show our steady progress under the
Structural Reform Plan in each area of products, sales,
production, and alliances, and this progress is trans-
lating to enhanced brand value.
Structural Reform Stage 2
We have announced a new medium-term business
plan—Structural Reform Stage 2—covering the period
from the March 2017 to the March 2019 fiscal years. To
date, we have steadily implemented the major initia-
tives under the Structural Reform Plan, but we recog-
nize that there is still room for improvement in each
area. Under Structural Reform Stage 2, our main focus
will be on further strengthening these initiatives while
addressing changes in the business environment in
each region, including trends in demand by market and
segment, market trends including exchange rates and
crude oil prices, and environmental regulations. Our
final-year management targets for the March 2019
fiscal year are for global sales volume of 1.65 million
units, an operating income ratio of at least 7%, an
equity ratio of at least 45%, and a dividend payout
ratio of at least 20%.
Message from President and CEO: To Shareholders and Investors
(Forecast)
2014 2015 2016
4Q 1Q 2Q 3Q 4Q 1Q 2Q~
10 15
36 41 48 54
Production Volume at the New Mexico Plant
(Thousands of units)
(Years ended
March 31)
Mazda Annual Report 2015
06
ssage from Management
CONTENTS
Foundations Underpinning
Sustainable Growth
Growth Strategy
Introduction
Review of Operations
Corporate Data