Honda Announces Consolidated Financial Summary for the Fiscal First Half Ended September 30, 2006.Tokyo Tokyo (tō`kēō), city (1990 pop. 8,163,573), capital of Japan and of Tokyo prefecture, E central Honshu, at the head of Tokyo Bay. , Japan, Oct 25, 2006 - (JCN JCN Japan Corporate News JCN Journal of Cognitive Neuroscience JCN Journal of Cardiovascular Nursing JCN Journal of Christian Nursing JCN Job Control Number JCN Journal of Child Neurology JCN joint communications network (US DoD) Newswire) - Honda honda a quick release metal eyelet for the end of a lariat. When the restrained animal is no longer required it is not necessary to slacken off the loop and pull it over the head—a very great advantage when working with wild cattle or unbroken horses. Motor Co., Ltd. today announced that in the first half of the current fiscal year, it realized a sixth consecutive all-time all-time adj. Exceeding all others up to the present time: an all-time speed skating record. all-time Adjective Informal record for consolidated net sales Net Sales The amount a seller receives from the buyer after costs associated with the sale are deducted. Notes: This amount is calculated by subtracting the following items from gross sales: merchandise returned for credit, allowances for damaged or missing goods, freight and other operating revenue operating revenue Revenue from any regular source. Revenue from sales is adjusted for discounts and returns when calculating operating revenue. Compare other revenue. (herein referred to as "revenue") due to increased sales revenue in all business areas. Operating income Operating Income The profit realized from a business' own operations. Notes: This would not include income from things such as investments in other firms. Also referred to as operating profit or recurring profit. increased due to increased profit from higher revenues, and the positive effects from the depreciation of the Japanese Yen “Yen” redirects here. For the other use, see Yen (disambiguation). “JPY” redirects here. For the Australian singer with the same moniker, see John Paul Young. , despite the changes in the model mix, soaring soaring: see flight; glider. soaring or gliding Sport of flying a glider or sailplane. The craft is towed behind a powered airplane to an altitude of about 2,000 ft (600 m) and then released. raw materials costs exceeding continued cost reduction efforts and an increase in selling, general and administrative (SG&A) expenses. Honda realized an all-time record for first half results for operating income, income before income taxes, net income and equity in income of affiliates This refers to equity (income) generated from strategic investments in consolidated or unconsolidated affiliate companies, i.e. investments in which the investing company has significant influence over the operating and financial policies of the investee (the legal entity into which an . At the board of directors meeting held on October October: see month. 25, 2006, Honda resolved to pay interim dividend of 30 yen, and to introduce quarterly dividend in the third quarter with the dividend date of record as December December: see month. 31, 2006, to allow for more frequent payouts to its shareholders. The third quarter dividend is to be 17 yen per share. With a year-end dividend Year-end dividend A special dividend declared at the end of a fiscal year that usually represents distribution of higher-than-expected company profits. year-end dividend See final dividend. of 17 yen, the total dividend to be paid for the current fiscal year will be 64 yen per share. (As of July 1, 2006, one share of the Company's common stock was split into two. Had the stock split not been carried out, interim dividend would have been JPY JPY In currencies, this is the abbreviation for the Japanese Yen. Notes: The currency market, also known as the Foreign Exchange market, is the largest financial market in the world, with a daily average volume of over US $1 trillion. 60 per share, which is an increase of JPY 20 per share and the annual dividend would have been JPY 128, which is an increase of JPY 28 per share.) I. Results for Fiscal First Half ended Sept. 30, 2006
Yen (billions)
------------------------------------------------------------------------
First Half ended First Half ended Difference
Sept. 30, 2005 Sept. 30, 2006 (% change)
------------------------------------------------------------------------
Net sales and other 4,602.2 5,230.5* +628.3
operating revenue (+13.7)
Operating income 333.0 396.5* +63.4
(+19.1)
Income before income taxes 313.7 345.8* +32.1
(+10.3)
Equity in income of 47.2 57.6* +10.4
affiliates (+22.1)
Net income 244.3 271.3* +26.9
(+11.0)
EPS (Yen) 132.32 148.52 +16.20
(+12.2)
------------------------------------------------------------------------
*Record result for fiscal first half
(Honda's average rate for the current first half:
JPY 115 = U.S. dollar 1, JPY 146 = Euro 1)
(Note) As of July 1, 2006, one share of the Company's common stock
was split into two, and EPS was calculated based on the issued shares
after this 1:2 stock split.
Consolidated unit sales unit sales Sales measured in terms of physical units rather than dollars. Unit sales data are often used by financial analysts when evaluating the health of a company. : All-time first half record unit sales were realized in the automobile and power product business areas. (The total includes fully finished products made by Honda and its subsidiaries as well as unit sales of fully finished products and parts for local production by affiliates accounted for under the equity method.) - Motorcycles: 5.196 million units (+2.5%); the increase was due mainly to sales growth in India and Brazil. (Of the unit sales of Honda-brand motorcycle motorcycle, motor vehicle whose design is based on the bicycle. The German inventor Gottlieb Daimler is generally credited with building the first practical motorcycle in 1885. The motorcycle did not become dependable and popular, however, until after 1900. products that are manufactured and sold by overseas affiliates accounted for under the equity method, those with respect to which parts for manufacturing were not supplied from Honda or such subsidiaries are not included in unit sales, in conformity with U.S. generally accepted accounting principles The standard accounting rules, regulations, and procedures used by companies in maintaining their financial records. Generally accepted accounting principles (GAAP) provide companies and accountants with a consistent set of guidelines that cover both broad accounting as well as net sales and other operating revenue, which amounted to approximately 1.06 million units.) - Automobiles: 1.78 million units (+6.3%); the increase was mainly due to a rise in sales in North America North America, third largest continent (1990 est. pop. 365,000,000), c.9,400,000 sq mi (24,346,000 sq km), the northern of the two continents of the Western Hemisphere. and Asia. - Power Products: 2.911 million units (+11.0%); the increase was mainly due to sales growth in Japan, North America and Europe. Consolidated revenue rose to JPY 5,230.5 billion (+13.7%), a sixth consecutive all-time record, due to increased sales in all business areas. Consolidated operating income totaled JPY 396.5 billion (+19.1%), the third consecutive increase for the fiscal first half. The increased profit from higher revenue, and a positive effects of the depreciation of the Japanese Yen, offset the negative impacts of changes in the model mix, soaring raw materials costs exceeding continued cost reduction efforts, and an increase in SG&A expenses. Income before income taxes increased to JPY 345.8 billion (+10.3%), for the first increase in two years for the fiscal first half. Equity in income of affiliates totaled JPY 57.6 billion (+22.1%), for a seventh consecutive increase for the fiscal first half, due primarily to increased income in automobile operations in China. Consolidated net income was JPY 271.3 billion (+11.0%), for the sixth consecutive increase. II. Results for Fiscal 2nd Quarter of the fiscal year ending March 31, 2007 Consolidated revenue for the fiscal second quarter totaled JPY 2,630.8 billion (+12.5%), a sixth consecutive all-time record. Consolidated operating income for the period was JPY 193.0 billion (+18.6%), consolidated income before income taxes was JPY 158.8 billion (-6.2%) due mainly to fluctuation Fluctuation A price or interest rate change. in fair value of interest rate swap Interest Rate Swap A deal between banks or companies where borrowers switch floating-rate loans for fixed rate loans in another country. These can be either the same or different currencies. included in non-operating income and expenses, and consolidated net income totaled JPY 127.9 billion (-4.3%). III. Forecast for Fiscal Year Ending March 31, 2007 Honda aims to achieve JPY 11 trillions of consolidated revenue for the fiscal year ending March 31, 2007, a seventh consecutive all-time record, based on the unit sales plans of 10.71 million motorcycles, 3.7 million automobiles and 6.255 million power products. (Of the unit sales of Honda-brand motorcycle products that are manufactured and sold by overseas affiliates accounted for under the equity method, those with respect to which parts for manufacturing were not supplied from Honda or such subsidiaries are not included in unit sales, in conformity with U.S. generally accepted accounting principles as well as net sales and other operating revenue, which amounted to approximately 3.02 million units.) Honda will carry out its business operations Business operations are those activities involved in the running of a business for the purpose of producing value for the stakeholders. Compare business processes. The outcome of business operations is the harvesting of value from assets based on the goals described in the following chart with assumption of the average currency exchange rate of JPY 115 = U.S. dollar 1 (average rate for the first half of the fiscal year: JPY 115, second half of the fiscal year: JPY 115) and JPY 145 = Euro 1 (first half: JPY 146, second half: JPY 145 ).
Yen (billions)
------------------------------------------------------------------------
Year ended Forecast FY Difference Previous
March 31, March 31, (% change) forecast
2006 2007 (July 26)
------------------------------------------------------------------------
Net sales and other 9,907.9 11,000.0 +1,092.0 10,700.0
operating revenue (+11.0%)
Operating income 868.9 820.0 -48.9 (-5.6%) 750.0
[gain on Daiko-Henjo*
excluded] [730.8] [+89.1 (+12.2%)]
Income before
income taxes 814.6 745.0 -69.6 (-8.5%) 735.0
[gain on Daiko-Henjo*
excluded] [676.6] [+68.3 (+10.1%)]
Equity in income of
affiliates 99.6 101.0 +1.3 (+1.4%) 103.0
Net income 597.0 555.0 -42.0 (-7.0%) 550.0
[gain on Daiko-Henjo*
excluded] [514.2] [+40.7 (+7.9%)]
------------------------------------------------------------------------
*Gain on the return of the substitutional portion of the Employees'
Pension Funds to the Japanese government.
About Honda Motor Co., Ltd. Honda Motor Co., Ltd. (TSE See Tokyo Stock Exchange. TSE 1. See Tokyo Stock Exchange (TSE). 2. See Toronto Stock Exchange (TSE). :7267/NYSE:HMC/LSE:HNDA.L) is one of the leading manufacturers of automobiles and power products and the largest manufacture of motorcycles in the world. Honda has always sought to provide genuine satisfaction to people worldwide. The result is more than 120 manufacturing facilities in 30 countries worldwide, producing a wide range of products, including motorcycles, ATVs, generators, marine engines, lawn and garden equipment and automobiles that bring the company into contact with over 19 million customers annually. For more information, please visit http://world.honda.com. Source: Honda Motor Co., Ltd. Contact: Honda Motor Co.,Ltd. Corp. PR Tel. +81-3-5412-1512 Fax +81-3-5412-1545 http://www.honda.co.jp/ Copyright [c] 2006 JCN Newswire. All rights reserved. A division of Japan Corporate News Network K.K. |
|
||||||||||||||
Printer friendly
Cite/link
Email
Feedback
Reader Opinion