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MITSUBISHI MOTORS CORPORATION Annual Report 2007
26
0504 06 07
0
200
400
600
800
(FY)
Plan*
0504 06 07
0
20
40
60
80
(FY)
Plan*
0
200
400
600
800
0504 06 07
(FY)
Plan*
*MMC revised targets for fiscal year 2007 when it released fiscal year 2006 full-year financial results on April 26, 2007.
Asia, ASEAN and Other Regions
MMC has a long history in Asia, including the ASEAN
region. This presence has engendered trust in the
Mitsubishi Motors brand in these markets. We intend
to preserve our early-mover advantage in these regions
by continuing to actively roll out new models and by
building stronger relationships of trust with local
distributors and production companies. MMC also
aims to enhance its brand image in Australia, as well
as markets with strong growth potential, such as Latin
America, the Middle East, and Africa.
Overview of Fiscal Year 2006
In the past fiscal year, retail sales volume in Asia,
ASEAN and other regions decreased 19.2% year on
year to 537,000 units. Approximately half of this
decline reflected a drop in shipments to Malaysia-
based Proton Holdings Bhd. However, with year-on-
year differences in quarterly results gradually
shrinking, the quarterly trend shows that sales are
stabilizing.
By region, amid lower overall demand and esca-
lating competition, the ASEAN region remained
weak, with retail sales in this region dropping 92,000
units year on year. Meanwhile, in North Asia (China
and Taiwan), although full-year sales volume
decreased by 69,000 units, there were signs of im-
provement from the first to second halves of the fis-
cal year. In the Middle East, monthly retail sales in
the United Arab Emirates (UAE) continued to reach
new records, and in Saudi Arabia, sales were up 86%
year on year in November 2006. Retail sales in Bra-
zil also reached a record high in July 2006. As a
result, retail sales in Latin America, the Middle East,
and Africa increased 35,000 units, or 20% year on
year. There was a slight upturn in retail sales in Aus-
tralia on contributions from sales of imported fin-
ished vehicles.
Net sales in fiscal year 2006 decreased 0.6% to
¥610.5 billion, while operating income fell 9.1% to
¥40.8 billion. In fiscal year 2007, MMC is targeting
total retail sales of 581,000 units, an increase of
44,000 units, on expectations of growth in North Asia,
which includes China, and the fast-growing markets
of Latin America, the Middle East, and Africa.
Net Sales
(¥ billion)
Operating Income
(¥ billion)
Retail Sales
(Thousand units)