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28 SUZUKI MOTOR CORPORATION
Financial review
(3) Selling, general and administrative expenses
In the current consolidated fiscal year, the amount of selling, general and administrative expenses decreased by ¥37.2 billion to
¥477.7 billion year-on-year because of reduction of selling expenses such as promotion expenses.
(4) Other income and expenses
In the current consolidated fiscal year, the net amount of other income and expenses was a loss of ¥2.6 billion mainly due to provi-
sion for disaster and impairment loss. Compared to the previous fiscal year, profit decreased by ¥13.8 billion year-on-year mainly
due to provision for disaster and foreign exchange losses.
(5) Forecasts for next fiscal year
In the midst of the continuous yen appreciation, the next fiscal year will expect increase of depreciation and research and devel-
opment expenses due to increased investments in growing markets such as India and ASEAN, but the Group will work as one
to reform in every field to accomplish more than the below forecasts for the consolidated operation by developing the business
activity.
(Forecast of consolidated results-First Half)
Net sales ¥1,300.0 billion (up 6.0% year-on-year)
Operating income ¥65.0 billion (up 0.4% year-on-year)
Net income ¥35.0 billion (up 9.3% year-on-year)
Foreign exchange 75 yen/US$, 105yen/Euro
(Forecast of consolidated results-Full Year)
Net sales ¥2,600.0 billion (up 3.5% year-on-year)
Operating income ¥120.0 billion (up 0.6% year-on-year)
Net income ¥70.0 billion (up 29.9% year-on-year)
Foreign exchange 75 yen/US$, 105yen/Euro
* The forecasts for next fiscal year mentioned above are calculated based on currently available information and assumptions
and contain risks and uncertainty. Please note that the actual results may greatly vary by the changes of various factors.
Those factors, which may influence the actual results, include economic conditions and the trend of demand in major mar-
kets and the fluctuations of foreign exchange rate (mainly Yen/U.S. dollar rate, Yen/Euro rate).
2. Liquidity and capital resources
(1) Cash flow
Cash flow provided by operating activities for FY2011 amounted to ¥226.7 billion (¥226.5 billion was provided in the previous
fiscal year), and ¥93.6 billion was used for the acquisition of property, plant and equipment etc. in the investment activities (¥87.4
billion was used in the previous fiscal year). As a result, free cash flow amounted to ¥133.1 billion (¥139.1 billion for the previous
fiscal year). In financing activities, ¥56.5 billion was used mainly in repayment of borrowings etc. (¥75.0 billion was used in the
previous fiscal year).
As a result, the balance of cash and cash equivalents at the end of FY2011 was ¥710.5 billion and up ¥78.6 billion from the end of
previous fiscal year.
(2) Demand for money
During the current consolidated fiscal year, The Company and consolidated subsidiaries invested a total ¥126.7 billion of capital
expenditures on various areas such as new model production and R&D investments.
Capital expenditure project for the next fiscal year is ¥250.0 billion. The required fund will be covered mainly by our own funds.
3. Significant accounting policies
For information regarding significant accounting policies, please refer to the Notes to Consolidated Financial Statements.
* : An amount less than 100 million yen has been rounded off in “Financial review” section.