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39 MITSUBISHI MOTORS CORPORATION
The change in accounting period at consolidated overseas subsidiaries had the effect of increasing consolidated net sales
by ¥433.4 billion. Excluding the bridge period, consolidated net sales rose 7.8% to ¥3,451.5 billion, sales in the Passenger Car
Division climbed 8.6% to ¥2,736.2 billion, and sales in the Truck & Bus Division advanced 5.1% to ¥715.3 billion.
✵Operating profit
Consolidated operating profit increased by 2.1 times to ¥82.8 billion. The main factors responsible for this substantial
improvement were lower costs in the Passenger Car Division due to progress made with the Turnaround and sales increases
posted in North America, Asia and the rest of the world.
Substantial reductions in material costs, which were equivalent to savings of ¥70.1 billion in fiscal 2002 alone, accounted
for a large proportion of the improved cost profile. The real reduction in materials costs achieved by the end of fiscal 2002
within the Turnaround amounted to 15%, against an original target of 10%. The planned headcount adjustment is also on
track, having been reduced by 16% earlier than planned from the level in April 2000. This is higher than the original target of
14% for the year ending March 2004. This resulted in labor cost savings of ¥17.6 billion.
In terms of the impact on operating profit by changes in sales, the year-on-year decline in passenger car sales in Japan had
a negative impact of ¥27.0 billion. This was more than offset by the positive impact of higher passenger car sales units in
overseas markets (¥71.1 billion), resulting in a net positive impact of ¥44.1 billion. As a result, the overall operating profit
margin improved to 2.1%, compared with a figure of 1.3% recorded in fiscal 2001.
Excluding the bridge period, consolidated operating profit increased by 2.3 times to ¥92.8 billion (equivalent to an oper-
ating profit margin of 2.7%), largely as a result of exceptionally poor conditions in North America during this three-month
period that generated a corresponding operating loss of ¥10.0 billion.
UNIT SALES (Retail Sales) OPERATING PROFIT (Loss)NET SALES
00
(FY) (FY) (FY)
01 02 00 01 02 00 01 02
2,000
1,500
1,000
500
0
4,000
3,000
2,000
1,000
100
50
0
–50
0 –100
(1,000 units) (¥ billion) (¥ billion)
Passenger Car
Truck & Bus