Yamaha 2014 Annual Report Download - page 47

Account receivable turnover
(Times)
Cash provided by (used in)
operating activities
(Billion ¥)
–50
0
50
100
150
Cash used in investing activities
(Billion ¥)
0
20
40
60
80
63
72
–2
105
67
33
94
2010 2011 2012 20142013 2010 2011 2012 20142013
47
51
38
0
2
4
6
8
7.1 7.1 6.9
6.4
2010 2011 2012 20142013
7.7
Cash and cash equivalents at
the end of the year
(Billion ¥)
Free cash flows
(Billion ¥)
Interest-bearing debt and
debt/equity ratio
(Billion ¥) （%）
0
120
240
360
480
–60
0
30
60
90
0
60
120
180
240
0
50
100
150
200
106
120
137
21
134
204
327
106.2 99.7
87.8
–13
–53
67
4
275
117.6
97.8
322
2010 2011 2012 20142013 2010 2011 2012 20142013 2010 2011 2012 20142013
383 404
Interest-bearing debt Debt/equity ratio (%)
Management Discussion and Analysis of Operations
As a result of the activities discussed above, free cash
fl ows for fi scal 2014 were a positive ¥21.1 billion. Interest-
bearing debt at the end of the fi scal year was ¥403.7
billion, and cash and cash equivalents totaled ¥137.3
billion. Interest-bearing debt included ¥186.7 billion in
borrowings for sales fi nance.
Demand for Funds
The Group’s fund requirements are primarily to cover the
cost of procuring materials and parts used in product
manufacturing and costs incurred in the manufacturing
process, as well as purchasing costs for products and
merchandise, SG&A expenses, working capital and capital
expenditures.
The Group made investments of ¥65.9 billion in total
during fi scal 2014.
In the motorcycle business, investments of ¥41.4 billion
were made for new products in domestic and overseas,
enhancement of production capacity in India, and
restructuring of the domestic manufacturing system. In the
marine products business, investments of ¥11.4 billion
were made for new products, research and development,
and restructuring of the domestic manufacturing system.
In the power products business, investments of ¥6.2 billion
were made for the factors such as new products of ROVs.
In the industrial machinery and robots business, investments
of ¥0.7 billion were made for new products and research
and development. In other products business, investments
of ¥6.2 billion were made for factors such as automobile
engine production facilities, research and development of
smart power vehicles.
Cash Dividends
Recognizing that shareholders’ interests represent one of
the Company’s highest management priorities, the Company
has been striving to meet shareholder expectations by
working to maximize its corporate value.
Under the current MTP, the Company aims to provide
shareholder returns through comprehensive consideration
of the business environment, including business
performance, retained earnings, and a balance between
aggressive growth investments and stock dividends and
loan repayments, while maintaining a minimum dividend
payout ratio of 20% of consolidated net income.
The Company decided to pay a year-end dividend of
¥25.50 per share for fi scal 2014. Added to the interim
dividend (¥14.50 per share), this gave a total dividend for
the year of ¥40 per share.
Fund Procurement Conditions
Group companies acquire short-term loans payable
denominated in local currencies to use as working capital.
Meanwhile, funds for plant and equipment investment
come primarily from internal reserves, including paid-in
capital and retained earnings.
The annual amounts of interest-bearing debt to be
repaid are as follows:
(Billion ¥)
Total
1 year
or less
1 to 2
years
2 to 3
years
3 to 4
years
4 to 5
years
More than
5 years
Short-term
loans payable 125.9 125.9 — — — — —
Long-term
loans payable 277.7 97.3 40.1 50.0 46.3 40.0 4.0
Note Long-term loans payable includes current portion of long-term loans
payable.
Share Performance
Price per share increased from ¥1,577 at December 31,
2013 to ¥2,442 at December 31, 2014. The number of
shares outstanding, excluding treasury stock, increased
from 349,134,628 shares at December 31, 2013 to
349,174,408 shares at December 31, 2014.
As a result, the market capitalization of the Company
increased from ¥550.6 billion at December 31, 2013 to
¥852.7 billion at December 31, 2014.
Yamaha Motor Co., Ltd. 󱚈 Annual Report 2014 Yamaha Motor Co., Ltd. 󱚈 Annual Report 2014
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