Yamaha 2011 Annual Report Download - page 50

Download and view the complete annual report

Please find page 50 of the 2011 Yamaha annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 94

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83
  • 84
  • 85
  • 86
  • 87
  • 88
  • 89
  • 90
  • 91
  • 92
  • 93
  • 94

48 Yamaha Corporation
raw materials costs of approximately ¥200 million, and other factors,
operating income rose dramatically. The increase was attributable
to an interest gain of roughly ¥1,000 million on retirement benefit
obligations, and business restructuring effects of about ¥500 million
resulting from piano manufacturing base integration. There was also a
significant effect from increased production.
Operating Income (Loss) by Geographical Segment
By geographical segment, in fiscal 2011, because of a dramatic ¥9,199
million increase in operating income in Japan, the Company reversed
last year’s loss and recorded operating income of ¥1,688 million. This
turnaround can be attributed to improved profitability of musical
instruments and higher earnings for electronic devices and other busi-
ness segments.
In North America, operating income declined ¥850 million, or
37.0%, to ¥1,449 million.
In Europe, operating income decreased ¥787 million, or 32.1%,
to ¥1,668 million.
Operating income in Asia, Oceania and other areas increased
¥988 million, or 13.4%, to ¥8,372 million.
Non-Operating Income and Expenses
Non-operating income in fiscal 2011 was ¥2,439 million, largely in line
with the ¥2,471 million of the previous fiscal year. Of this amount, interest
and dividend income increased ¥224 million, or 28.5%, to ¥1,010 million,
compared with ¥786 million in the previous fiscal year. Other non-
operating income decreased ¥255 million, or 15.2%, year on year, from
¥1,684 million to ¥1,428 million. In fiscal 2011, a ¥513 million expense was
recorded for the compensation for transfers of the factory of Xiaoshan
Yamaha Musical Instruments Co., Ltd. and facilities of other subsidiaries.
Non-operating expenses totaled ¥4,633 million, up ¥244 million,
or 5.6%, from the previous year-end figure of ¥4,388 million. Of this
amount, interest expenses decreased ¥99 million, or 22.1%, from ¥451
million to ¥351 million. Sales discounts due to early payment declined
from ¥2,804 million to ¥2,349 million, a decrease of ¥454 million, or
16.2%. Other non-operating expenses rose from ¥1,133 million to
¥1,932 million, an increase of ¥799 million, or 70.5%. Of this amount,
foreign exchange losses totaled ¥1,207 million, up ¥867 million, or
254.9%, from the previous year-end figure of ¥340 million.
Extraordinary Income and Loss
Extraordinary income in fiscal 2011 decreased ¥313 million, or 24.1%,
year on year, to ¥988 million from ¥1,301 million. Gain on sales of
property, plant and equipment declined by ¥572 million, or 71.2%,
from ¥804 million to ¥231 million.
Extraordinary loss was down ¥1,256 million, or 19.6%, from
¥6,413 million to ¥5,157 million. Although the Company recorded a
¥1,563 million loss on valuation of investment securities and a ¥2,687
million loss on impairment of fixed assets, the elimination of last fiscal
year’s net loss on sales of stocks of subsidiaries and affiliates of ¥2,159
million contributed substantially to reducing last year’s loss.
In fiscal 2011, loss on impairment of fixed assets was recognized
primarily for assets held in the musical instruments sales subsidiary
and idle assets. Loss on retirement of property, plant and equipment
amounted to ¥438 million, a decrease of ¥344 million, or 44.0%, com-
pared with ¥782 million in fiscal 2010.
Income before Income Taxes and Minority Interests
Income before income taxes and minority interests in fiscal 2011 came
to ¥6,802 million, an improvement of ¥7,004 million from a loss of ¥201
million recorded in the previous fiscal year. The ratio of income before
income taxes and minority interests to net sales improved from -0.0%
to 1.8%.
Current Income Taxes and Deferred Income Taxes
Current income taxes and deferred income taxes declined ¥2,989 mil-
lion, or 68.7%, year on year, to ¥1,359 million, compared with ¥4,349
million in the previous fiscal year.
Minority Interests in Income
In fiscal 2011, minority interests in income amounted to ¥364 million,
largely in line with the ¥371 million of the previous fiscal year.
Operating Income Operating Income Analysis
Impact of exchange rates
10/3
Handover of the lifestyle-related products business
Material cost increases
Overseas distribution cost increases
Retirement benet obligations
Decrease in actual SG&A expenses
Eects of restructuring
Increased actual sales and production
-5.4
6.8
-0.4
-0.2
-1.5
+1.0
+0.2
+0.5
+12.2
13.2
11/3
(Billions of yen)
(Millions of yen)
0
40,000
30,000
20,000
10,000
07/3 08/3 09/3 10/3 11/3
13,165