No.1-7628
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 6-K
REPORT OF FOREIGN PRIVATE ISSUER
PURSUANT TO RULE 13a-16 OR 15d-16
UNDER THE SECURITIES EXCHANGE ACT OF 1934
FOR THE MONTH OF December 2003
COMMISSION FILE NUMBER: 1-07628
HONDA GIKEN KOGYO KABUSHIKI KAISHA
(Name of registrant)
HONDA MOTOR CO., LTD.
(Translation of registrants name into English)
1-1, Minami-Aoyama 2-chome, Minato-ku, Tokyo 107-8556, Japan
(Address of principal executive officers)
Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F:
Form 20-F * Form 40-F
Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1):
Note: Regulation S-T Rule 101(b)(1) only permits the submission in paper of a Form 6-K if submitted solely to provide an attached annual report to security holders.
Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7):
Indicate by check mark whether by furnishing the information contained in this Form, the registrant is also thereby furnishing the information to the Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of 1934.
Yes No
If Yes is marked, indicate below the file number assigned to the registrant in connection with Rule 12g3-2(b):82-
On December 16, 2003, Honda Motor Co., Ltd. announced the development of its compact, lightweight, fuel-efficient, low emission HF118 Turbofan Engine for the HondaJetHondas experimental business jet. (Ref. #C03-088)
On December 16, 2003, Honda Motor Co., Ltd. announced that the HondaJet, its new experimental compact business jet equipped with Honda-developed HF118 jet engines, successfully completed initial flight tests at Piedmont Triad Airport in North Carolina, U.S. (Ref. #C03-089)
On December 17, 2003, Honda Motor Co., Ltd. announced its 2003 forecast and 2004 plan in both sales and production. (Ref. #03095)
On December 17, 2003, Honda Motor Co., Ltd. announced that it would establish a new wholly-owned subsidiary in China Honda Motor (China) Investment Co., Ltd. with the objective of strengthening the function of its regional operation center there. (Ref. #C03-093)
On December 25, 2003, Honda Motor Co., Ltd. announced that overseas production grew 5.5% in November, mostly because of increased output in Asia. (Ref. #C03-096)
On December 25, 2003, Honda Motor Co., Ltd. announced that the 1.3L version of the Fit has been certified as achieving emission levels which are 75% lower than the 2005 emission regulation standards established by the Japanese Ministry of Land, Infrastructure and Transport. (Ref. #A03-067)
Interim Business Report for the First-Half term (six months ended September 30, 2003) of the 80th fiscal period.
Semi Annual report for the First-Half term (six months ended September 30, 2003) of the 80th fiscal period.
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
HONDA GIKEN KOGYO KABUSHIKI KAISHA ( HONDA MOTOR CO., LTD ) |
/s/ Satoshi Aoki |
Satoshi Aoki Senior Managing and Representative Director |
Date: January 20, 2004
ref. #C03-088
Honda Announces Development of
HF118 Turbofan Aircraft Engine
December 16, 2003Honda Motor Co., Ltd. announced today the development of its compact, lightweight, fuel-efficient, low-emission HF118 Turbofan Engine for the HondaJetHondas experimental business jet.
Honda used its proprietary computational fluid dynamics software to optimize airflow within the compact engine, maximizing performance. The engines simple, high-performance combustion chamber keeps emission levels low enough to meet the requirements of anticipated standards for compact jets.
On the basis of electronic control technology originally developed for automotive applications, Honda has created the first ultra-compact Full Authority Digital Electronic Control (FADEC) system for this class of engine, which provides superior engine operation and reliability without variable mechanisms.
Development of this engine began in 1999, and it has been submitted to comprehensive testing, including required tests such as the 150-hour endurance test . The engine has now logged more than 110 hours of flight-testing on other manufacturers aircraft, confirming its reliability.
Key Specifications
Engine Type | 2-Spool Turbofan One-Stage Fan, Two-Stage Compressor, Two-Stage Turbine | |||||
Take-off thrust | 757 kgf (1,670 lbf) | Take-off fuel consumption | 0.49 kg/hr/kgf (0.49 lb/hr/lbf) | |||
Cruise thrust | 191 kgf (420 lbf) | Cruising fuel consumption | 0.75 kg/hr/kgf (0.75 lb/hr/lbf) | |||
Dry weight | 178 kg (392 lb) | Bypass ratio | 2.9 | |||
Fan diameter | 441 mm (17.4 inches) | Total length | 1,384 mm (54.5 inches) |
HF118 Turbofan Engine | HF118 mounted on the HondaJet |
Publicity information relating to the HondaJet and HF118 Turbofan Engine is available from the following URL:
http://www.honda.co.jp/PR/
(This site is intended exclusively for the use of journalists.)
ref. #C03-089
Flight Tests of Honda Experimental Business Jet Begin
December 16, 2003Honda Motor Co., Ltd. announced today that the HondaJet, its new experimental compact business jet equipped with Honda-developed HF118 jet engines, successfully completed initial flight tests this month at Piedmont Triad Airport in North Carolina, US.
Compared with conventional jets, this experimental aircraft offers superior fuel efficiency and remarkable cabin space. The engines are optimally positioned on the upper surface of the main wing in a unique configuration that reduces drag at high speeds and increases cruising efficiency. This layout also eliminates the need for structural engine mounts in the fuselage, creating over 30% more cabin space than in a conventional aircraft.
The fuselage is a compact and lightweight co-cured carbon composite structure, yet realizes the largest cabin in its class. The main wing, which features aluminum skin panels formed from single sheets of aluminum that provide a smoother surface than conventional wing configurations, along with Hondas proprietary turbulence-reducing laminar airfoil, work together to significantly improve aerodynamic performance. Additional drag-reducing technologies include the fuselage nose, which is designed to generate laminar flow. These features, in combination with Hondas fuel-efficient HF118 Turbofan Engine, achieve fuel efficiency over 40% higher than conventional aircraft.
The HondaJet taking off | The HondaJet on the ground |
This experimental aircraft is also outfitted with a state-of-the-art glass cockpit with an integrated avionics system, as well as an autopilot function, anti-icing equipment, and other systems. The jet is scheduled to undergo approximately 200 hours of flight-testing to demonstrate and verify the operability and performance characteristics of its various systems.
Honda began research into compact business jets in 1986, using engines provided by other manufacturers. The HF118 Turbofan Engine-equipped HondaJet experimental compact jet is the first Honda developed aircraft to be outfitted with a Honda engine, a milestone of significance for the company and the industry.
1
Main Specifications
Provisional name |
HondaJet | |
Seating |
6 (2 crew + 4 passengers or 1 + 5) | |
Engine |
Honda HF118 Turbofan Engine | |
Maximum take-off thrust (kgf (lbf)) |
757 (1,670) x 2 | |
Maximum take-off weight (kgf (lbf)) |
4,173 (9,200) | |
Length x width x height (m (ft)) |
12.5 x 12.2 x 4.1 (41.1 x 39.9 x 13.2) | |
Maximum speed (km/hr (knots)) |
778 (420) | |
Service ceiling (m(ft)) |
12,497 (41,000) | |
Range (km (nm)) |
2,037 (1,100) | |
Fuel consumption (km/kg (nm/lb)) |
3.3 (0.8) | |
Take-off distance (m (ft)) |
807 (2,647) | |
Landing distance(m (ft)) |
694 (2,277) |
Diagrams
Publicity information relating to the HondaJet and HF118 Turbofan Engine is available from the following
URL: http://www.honda.co.jp/PR/
(This site is intended exclusively for the use of journalists.)
2
=Supplement= <New Technologies Employed in the HondaJet> |
Wing shape test on T-33 aircraft |
IR analysis of air flow | ||
Honda SMH-1 Natural Laminar Flow Wing Section | ||||
Hondas proprietary SMH-1 achieves low drag and excellent performance at high speeds despite its relative thickness. |
||||
Laminar Flow Nose Section | Visualization of flow around the nose section during a wind tunnel test | |||
The optimal design of the fuselage nose generates a laminar flow that reduces drag on the fuselage. |
||||
Over-the-Wing Engine - Mount | Computer - calculated pressure distribution around the over-the-wing mounted engine | |||
Optimal placement of the engine nacelles over the main wing improves aerodynamic performance at high speeds. |
||||
Co-cured Composite Fuselage | ||||
The co-cured composite and honeycomb sandwich structure combine to create a new composite structure that enables Honda to develop a lightweight fuselage with more interior space. | Strength testing of the co - cured composite material | |||
Aluminum Main Wing | ||||
The use of an integrally stiffened skin produces a smooth wing surface that promotes laminar flow. | Structural configuration of the aluminum main wing | |||
Glass Cockpit | ||||
The aircraft is equipped with a state-of-the-art Garmin G1000 glass cockpit system. Information is efficiently presented on flat-panel flight displays. | The cockpit |
3
Ref.# 03095
2003/2004 SALES & PRODUCTION
2003 |
2004 |
|||||||||
Forecast |
% Change |
Plan |
% Change |
|||||||
<Global Sales (unit: 10 thousand)> *= New record |
||||||||||
Motorcycles & ATVs |
*approx. 909 | 112 | % | *approx. 1,040 | 114 | % | ||||
Automobiles |
*291 | 103 | % | *320 | 110 | % | ||||
Power Products |
*498 | 111 | % | *540 | 108 | % | ||||
Total |
*1,698 | 110 | % | *1,900 | 112 | % | ||||
2003 |
2004 |
|||||||||
Forecast |
% Change |
Plan |
% Change |
|||||||
(Units) | (Units) | |||||||||
<Motorcycles & ATVs> *= New record |
||||||||||
Japan sales |
410,000 | 97.8 | % | 410,000 | 100.0 | % | ||||
Export sales |
430,000 | 94.4 | % | 370,000 | 86.0 | % | ||||
Motorcycle Total |
840,000 | 96.0 | % | 780,000 | 92.9 | % | ||||
ATVs |
310,000 | 94.3 | % | *340,000 | 109.7 | % | ||||
Motorcycle & ATV Total |
1,150,000 | 95.5 | % | 1,120,000 | 97.4 | % | ||||
KD sets |
*7,400,000 | 108.9 | % | *8,620,000 | 116.5 | % | ||||
· Electric power assist bicycle Racoon is not included in the above figures. |
||||||||||
Japan production (·) |
664,000 | 76.5 | % | 610,000 | 91.9 | % | ||||
Overseas production (··) |
*8,456,000 | 119.1 | % | *9,760,000 | 115.4 | % | ||||
Global production (···) |
*9,120,000 | 114.5 | % | *10,370,000 | 113.7 | % | ||||
(·) completely built unit (CBU) + complete knock-down (CKD) |
||||||||||
(· ·) CBU production at local plants (excluding overseas CKD) |
||||||||||
(· · ·) Domestic production plus overseas production |
||||||||||
2003 |
2004 |
|||||||||
Forecast |
% Change |
Plan |
% Change |
|||||||
(Units) | (Units) | |||||||||
<Automobiles> *= New record |
||||||||||
· Passenger cars & light trucks |
485,000 | 79.0 | % | 506,000 | 104.3 | % | ||||
Mini vehicles |
255,000 | 88.3 | % | 294,000 | 115.3 | % | ||||
Japan sales |
740,000 | 82.0 | % | 800,000 | 108.1 | % | ||||
Export sales |
465,000 | 97.7 | % | 460,000 | 98.9 | % | ||||
Total |
1,205,000 | 87.4 | % | 1,260,000 | 104.6 | % | ||||
KD sets |
1,580,000 | 111.1 | % | *1,710,000 | 108.2 | % | ||||
· Import car sales are included in passenger cars & light trucks |
||||||||||
Japan production (·) |
1,160,000 | 83.7 | % | 1,220,000 | 105.2 | % | ||||
Overseas production (··) |
*1,790,000 | 118.2 | % | *1,950,000 | 108.9 | % | ||||
Global production (···) |
*2,950,000 | 101.7 | % | *3,170,000 | 107.5 | % | ||||
(·) completely built unit (CBU) + complete knock-down (CKD) |
||||||||||
(· ·) CBU production at local plants (excluding overseas CKD) |
||||||||||
(· · ·) Domestic production plus overseas production |
||||||||||
2003 |
2004 |
|||||||||
Forecast |
% Change |
Plan |
% Change |
|||||||
(Units) | (Units) | |||||||||
<Power Products> *= New record |
||||||||||
Japan sales |
445,000 | 90.3 | % | 400,000 | 89.9 | % | ||||
Export sales |
4,536,200 | 113.8 | % | 5,000,000 | 110.2 | % | ||||
Total |
*4,981,200 | 111.2 | % | *5,400,000 | 108.4 | % |
· | OEM engines for export have been included in Japan sales since 2001. |
C03-093
Honda Strengthens Function of Regional Operation Center in China
Tokyo, December 17, 2003 Honda Motor Co., Ltd. today announced that it will establish a new wholly-owned subsidiary in China Honda Motor (China) Investment Co., Ltd. with the objective of strengthening the function of its regional operation center there. The new company will be responsible for developing Hondas overall business strategy in China and representing Honda group companies in various areas including corporate communications, and intellectual property management. The company is expected to begin operations in February 2004.
Honda currently has 11 joint ventures and subsidiaries in China for its motorcycle, automobile and power equipment businesses. In April 2003, Honda established its sixth regional operation worldwide in order to manage Hondas growing operations in China more comprehensively. The new company will consolidate the regional headquarters functions and ensure that management decision-making is deeply-rooted in local market conditions and the needs of the customer. This strategy enables Honda to optimize its businesses to respond quickly to changes in the business environment of this rapidly growing market.
The new company will serve as a holding company with various stakes in each Honda company in China. In this way, the company can make timely decisions on the allocation of business resources within the region. The specific investment of Honda Motor (China) Investment Co. in each business subsidiary is to be determined.
Since 1994, Honda managed its global operations through a matrix system including both regional operations and its major business line operations. Under this system, Hondas six regional operations Japan, North America, South America, Europe, Asia/Oceania, and China are empowered to make strategic decisions in various business areas including product line-up, manufacturing, sales and investments. At the same time, headquarters functions for each business line automobile, motorcycle, power equipment, and parts make cross-regional decisions and strategic adjustments to optimize the efficiency of Honda operations globally.
About the new company
Name of company: |
Honda Motor (China) Investment Co., Ltd. | |
Establishment: |
January, 2004 (tentative) | |
Start of operations: |
February, 2004 (tentative) | |
Capital: |
US$30million | |
Shareholder: |
100% owned by Honda Motor Co., Ltd. | |
Representative (CEO): |
Atsuyoshi Hyogo | |
Location: |
Beijing, China | |
Number of associates: |
approximately 35 |
Ref.#C03-096
Honda Overseas Production Up 5.5% In November
December 25, 2003 Honda Motor Co., Ltd., announced today that overseas production grew 5.5% in November, mostly because of increased output in Asia. It was the 35th consecutive month of overseas production increases at Honda. For the first 11 months of 2003, overseas production is up 17.8%, predominantly due to a surge of 59.2% in Asia-based production.
Novembers domestic sales fell 22.1% overall, but sales of mini-vehicles were up 18.5%, the second consecutive monthly increase. Hondas Life mini-vehicle (17,692 units) was the best seller, followed by Fit (11,116), the new Odyssey (6,643 units).
Exports in November were down 19.9%, the fifth straight month of decline, because of decreased shipments to North America.
PRODUCTION, SALES, EXPORTS (November 2003)
PRODUCTION
November |
Annual Total - 2003 |
|||||||||
Units |
Vs.11/02 |
Units |
Vs.2002 |
|||||||
Domestic (CBU+CKD) |
102,480 | -15.6 | % | 1,069,350 | -15.9 | % | ||||
Overseas (CBU only) |
144,635 | +5.5 | % | 1,659,160 | +17.8 | % | ||||
Worldwide Total * |
247,115 | -4.4 | % | 2,728,510 | +1.8 | % |
* | excludes overseas CKD |
REGIONAL PRODUCTION
November |
Annual Total - 2003 |
|||||||||
Units |
Vs.11/02 |
Units |
Vs.2002 |
|||||||
North America |
94,560 | -2.1 | % | 1,151,162 | +10.9 | % | ||||
(USA only) |
61,607 | -3.8 | % | 787,126 | +12.3 | % | ||||
Europe |
16,712 | -2.3 | % | 170,660 | +3.9 | % | ||||
Asia |
26,536 | +43.2 | % | 276,284 | +59.2 | % | ||||
Others |
6,827 | +40.6 | % | 61,054 | +87.0 | % | ||||
Regional Total |
144,635 | +5.5 | % | 1,659,160 | +17.8 | % |
-1-
SALES
November |
Annual Total - 2003 |
|||||||||||
Vehicle type |
Units |
Vs.11/02 |
Units |
Vs.2002 |
||||||||
Passenger Cars & Light Trucks |
32,928 | -39.1 | % | 440,389 | -21.2 | % | ||||||
(Imports) |
(906 | ) | +97.4 | % | (18,886 | ) | +133.7 | % | ||||
Mini Vehicles |
26,821 | +18.5 | % | 233,214 | -12.8 | % | ||||||
Honda Brand TTL |
59,749 | -22.1 | % | 673,603 | -18.5 | % |
EXPORTS
November |
Annual Total - 2003 |
|||||||||
Units |
Vs.11/02 |
Units |
Vs.2002 |
|||||||
North America |
16,907 | -38.8 | % | 224,689 | -17.4 | % | ||||
(USA only) |
15,803 | -34.5 | % | 199,710 | -17.4 | % | ||||
Europe |
8,313 | +58.2 | % | 102,588 | +58.6 | % | ||||
Asia |
2,391 | -1.5 | % | 18,636 | -38.5 | % | ||||
Others |
9,146 | -13.7 | % | 76,777 | +17.8 | % | ||||
Total |
36,757 | -19.9 | % | 422,690 | -2.2 | % |
For further information, please contact:
Masaya Nagai
Shigeki Endo
Tatsuya David Iida
Honda Motor Co., Ltd. Corporate Communications Division
Telephone: 03-5412-1512
Facsimile: 03-5412-1545
-2-
ref. #A03-067
Honda Fit Meets 2005 Emission Regulations
December 25, 2003 Honda Motor Co., Ltd. has announced that the 1.3L version of the Fit, a car widely acclaimed for its advanced packaging, excellent fuel economy, innovative styling, and popularity amongst a broad age range of customers, has been certified as achieving emission levels which are 75% lower («««« low emission vehicle), than the 2005 emission regulation standards established by the Japanese Ministry of Land, Infrastructure and Transport. This Fit model will be on sale at Honda automobile dealerships nationwide from January 13, 2004.
The Fit 1.5L version has been certified as achieving emission level 50% lower (««« low emission vehicle), than the 2005 standards realizing extremely high environmental friendly emission levels for the Fit lineup.
In addition to the Fit, the Honda Inspire and OdysseyT1 models are certified as («««« low emission vehicle) and the Life and StreamT2 models are certified as (««« low emission vehicle). By the end of the first half of 2004, Honda plans to bring its entire automobile lineup in compliance with the 2005 emission regulations realizing an even broader lineup of environmentally friendly vehicles.
T 1 S, M, and L types
T 2 FF model
Publicity information for the Fit is available for downloading from the following URL: http://www.honda.co.jp/PR/
(This site is intended solely for the use of journalists)
INTERIM BUSINESS REPORT FOR THE FIRST-HALF TERM
(SIX MONTHS ENDED SEPTEMBER 30, 2003)
OF THE 80TH FISCAL PERIOD
(This is a translation of summary information of the interim business report in the Japanese language which is contained in the November 2003 issue of Honda Kabunushi Tsushin (News for Stockholders), mailed on November 21, 2003, to holders of Honda Common Stock in Japan.)
HONDA MOTOR CO., LTD.
(HONDA GIKEN KOGYO KABUSHIKI KAISHA)
TOKYO, JAPAN
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CONSOLIDATED FINANCIAL SUMMARY
For the six months ended September 30, 2003 and 2002 and forecasts for the fiscal year ending March 31, 2004 Honda Motor Co., Ltd. and Subsidiaries |
Yen (millions) |
U.S. dollar (millions) |
Yen (millions) | ||||||||||||
FORECASTS* | |||||||||||||||
Financial Highlights |
Six months ended September 30, 2003 |
% change |
Six months ended September 30, 2002 |
Six months ended September 30, 2003 |
Fiscal year ending March 31, 2004 | ||||||||||
Net sales and other operating revenue |
¥ | 4,025,431 | 4.5 | % | ¥ | 3,853,611 | $ | 36,184 | ¥ | 8,220,000 | |||||
Operating income |
301,871 | (6.8 | ) | 323,869 | 2,713 | 623,000 | |||||||||
Income before income taxes |
331,881 | 21.3 | 273,701 | 2,983 | 648,000 | ||||||||||
Net income |
239,178 | 22.8 | 194,779 | 2,150 | 470,000 | ||||||||||
Yen |
U.S. dollar |
Yen | ||||||||||
FORECAST* | ||||||||||||
Six months ended September 30, 2003 |
Six months ended September 30, 2002 |
Six months ended September 30, 2003 |
Fiscal year ending March 31, 2004 | |||||||||
Basic net income per common share |
¥ | 249.34 | ¥ | 199.98 | $ | 2.24 | ||||||
Basic net income per American share |
124.67 | 99.99 | 1.12 | |||||||||
Cash dividend per common share |
19 | 16 | ¥ | 38 | ||||||||
For the six months ended September 30, 2003 and 2002 and forecasts for the fiscal year ending March 31, 2004 Honda Motor Co., Ltd. and Subsidiaries |
Units (thousands) |
||||||||
FORECASTS* |
|||||||||
Six months ended September 30, 2003 |
Six months ended September 30, 2002 |
Fiscal year ending March 31, 2004 |
|||||||
Motorcycles: |
|||||||||
Japan |
214 | 215 | 425 | ||||||
(motorcycles included above) |
(214 | ) | (215 | ) | (425 | ) | |||
North America |
239 | 291 | 670 | ||||||
(motorcycles included above) |
(122 | ) | (138 | ) | (367 | ) | |||
Europe |
158 | 155 | 280 | ||||||
(motorcycles included above) |
(153 | ) | (150 | ) | (274 | ) | |||
Asia |
3,189 | 2,817 | 6,880 | ||||||
(motorcycles included above) |
(3,189 | ) | (2,817 | ) | (6,880 | ) | |||
Others |
419 | 389 | 825 | ||||||
(motorcycles included above) |
(414 | ) | (384 | ) | (820 | ) | |||
Total |
4,219 | 3,867 | 9,080 | ||||||
(motorcycles included above) |
(4,092 | ) | (3,704 | ) | (8,766 | ) | |||
Automobiles: |
|||||||||
Japan |
329 | 426 | 765 | ||||||
North America |
782 | 732 | 1,565 | ||||||
Europe |
113 | 104 | 220 | ||||||
Asia |
163 | 95 | 355 | ||||||
Others |
56 | 49 | 130 | ||||||
Total |
1,443 | 1,406 | 3,035 | ||||||
Power Products: |
|||||||||
Japan |
245 | 252 | 475 | ||||||
North America |
1,053 | 900 | 2,245 | ||||||
Europe |
421 | 424 | 1,260 | ||||||
Asia |
317 | 312 | 865 | ||||||
Others |
159 | 118 | 235 | ||||||
Total |
2,195 | 2,006 | 5,080 | ||||||
Explanatory notes: | 1. | The geographical breakdown of unit sales is based on the location of affiliated and unaffiliated customers. | ||
2. | Net sales of power products & other businesses include revenue from sales of power products and related parts, leisure businesses, trading and finance subsidiaries. |
* | These forecasts are based on the assumption that the exchange rates for the yen to the U.S. dollar and the euro for the current fiscal year will average ¥115 and ¥127, respectively. This announcement contains forward-looking statements within the meaning of Section 21E of the U.S. Securities Exchange Act of 1934. Hondas actual results could materially differ from those contained in these forward-looking statements as a result of numerous factors outside of Hondas control. Such factors include general economic conditions in Hondas principal markets, and foreign exchange rates between the Japanese yen and other major currencies, as well as other factors detailed from time to time in Hondas reports filed with the U.S. Securities and Exchange Commission. |
1
For the six months ended September 30, 2003 and 2002 Honda Motor Co., Ltd. and Subsidiaries |
Yen (millions) |
|||||||||||
Six months ended September 30, 2003 |
Six months ended September 30, 2002 |
|||||||||||
Motorcycle business: |
||||||||||||
Japan |
¥ | 50,903 | 10.7 | % | ¥ | 51,975 | 10.4 | % | ||||
North America |
130,534 | 27.5 | 164,254 | 33.0 | ||||||||
Europe |
97,799 | 20.6 | 87,221 | 17.5 | ||||||||
Asia |
119,881 | 25.2 | 107,256 | 21.6 | ||||||||
Others |
75,954 | 16.0 | 87,128 | 17.5 | ||||||||
Total |
¥ | 475,071 | 100.0 | % | ¥ | 497,834 | 100.0 | % | ||||
Automobile business: |
||||||||||||
Japan |
¥ | 631,247 | 19.3 | % | ¥ | 758,141 | 24.5 | % | ||||
North America |
2,015,790 | 61.7 | 1,862,010 | 60.2 | ||||||||
Europe |
252,169 | 7.7 | 204,265 | 6.6 | ||||||||
Asia |
263,093 | 8.1 | 177,870 | 5.8 | ||||||||
Others |
104,959 | 3.2 | 89,227 | 2.9 | ||||||||
Total |
¥ | 3,267,258 | 100.0 | % | ¥ | 3,091,513 | 100.0 | % | ||||
Financial Services: |
||||||||||||
Japan |
¥ | 10,303 | 8.2 | % | ¥ | 11,273 | 9.6 | % | ||||
North America |
111,193 | 88.1 | 103,240 | 88.2 | ||||||||
Europe |
3,561 | 2.8 | 2,589 | 2.2 | ||||||||
Asia |
358 | 0.3 | 14 | 0.0 | ||||||||
Others |
821 | 0.6 | | | ||||||||
Total |
¥ | 126,236 | 100.0 | % | ¥ | 117,116 | 100.0 | % | ||||
Power products & other businesses: |
||||||||||||
Japan |
¥ | 57,579 | 36.7 | % | ¥ | 55,657 | 37.8 | % | ||||
North America |
52,008 | 33.2 | 51,035 | 34.7 | ||||||||
Europe |
25,724 | 16.4 | 23,691 | 16.1 | ||||||||
Asia |
14,272 | 9.1 | 10,897 | 7.4 | ||||||||
Others |
7,283 | 4.6 | 5,868 | 4.0 | ||||||||
Total |
¥ | 156,866 | 100.0 | % | ¥ | 147,148 | 100.0 | % | ||||
Total: |
||||||||||||
Japan |
¥ | 750,032 | 18.6 | % | ¥ | 877,046 | 22.8 | % | ||||
North America |
2,309,525 | 57.4 | 2,180,539 | 56.6 | ||||||||
Europe |
379,253 | 9.4 | 317,766 | 8.2 | ||||||||
Asia |
397,604 | 9.9 | 296,037 | 7.7 | ||||||||
Others |
189,017 | 4.7 | 182,223 | 12.4 | ||||||||
Total |
¥ | 4,025,431 | 100.0 | % | ¥ | 3,853,611 | 100.0 | % | ||||
Explanatory notes: |
1. The geographical breakdown of net sales is based on the location of affiliated and unaffiliated customers. | |
2. Net sales of power products & other businesses include revenue from sales of power products and related parts, leisure businesses, trading and finance subsidiaries. |
2
For the six months ended September 30, 2003 and 2002 and the year ended March 31, 2003 Honda Motor Co., Ltd. and Subsidiaries |
Yen (millions) |
||||||||||||||
Net Sales and Other Operating Revenue |
Six months ended September 30, 2003 |
% change |
Six months ended September 30, 2002 |
Fiscal year March 31, |
|||||||||||
Motorcycle business: |
|||||||||||||||
Sales to unaffiliated customers |
¥ | 475,071 | (4.6 | )% | ¥ | 497,834 | ¥ | 978,095 | |||||||
Automobile business: |
|||||||||||||||
Sales to unaffiliated customers |
3,267,258 | 5.7 | 3,091,513 | 6,440,094 | |||||||||||
Financial services: |
|||||||||||||||
Sales to unaffiliated customers |
126,236 | 7.8 | 117,116 | 237,958 | |||||||||||
Intersegment sales |
1,311 | (24.5 | ) | 1,737 | 3,037 | ||||||||||
Total |
127,547 | 7.3 | 118,853 | 240,995 | |||||||||||
Other businesses: |
|||||||||||||||
Sales to unaffiliated customers |
156,866 | 6.6 | 147,148 | 315,352 | |||||||||||
Intersegment sales |
5,707 | 3.9 | 5,495 | 10,971 | |||||||||||
Total |
162,573 | 6.5 | 152,643 | 326,323 | |||||||||||
Eliminations |
(7,018 | ) | | (7,232 | ) | (14,008 | ) | ||||||||
Consolidated |
¥ | 4,025,431 | 4.5 | % | ¥ | 3,853,611 | ¥ | 7,971,499 | |||||||
For the six months ended September 30, 2003 and 2002 and the year ended March 31, 2003 Honda Motor Co., Ltd. and Subsidiaries |
Yen (millions) |
||||||||||||||
Operating Income |
Six months ended September 30, 2003 |
% change |
Six months ended September 30, 2002 |
Fiscal year March 31, |
|||||||||||
Motorcycle business |
¥ | 8,203 | (78.0 | )% | ¥ | 37,326 | ¥ | 58,766 | |||||||
Automobile business |
248,832 | 1.0 | 246,446 | 560,103 | |||||||||||
Financial services |
40,756 | 21.6 | 33,520 | 61,989 | |||||||||||
Other businesses |
4,080 | (38.0 | ) | 6,577 | 8,591 | ||||||||||
Consolidated |
¥ | 301,871 | (6.8 | )% | ¥ | 323,869 | ¥ | 689,449 | |||||||
For the six months ended September 30, 2003 and 2002 and the year ended March 31, 2003 Honda Motor Co., Ltd. and Subsidiaries |
Yen (millions) |
||||||||||||||
Operating Income |
Six months ended September 30, 2003 |
% change |
Six months ended September 30, 2002 |
Fiscal year March 31, |
|||||||||||
Japan |
¥ | 77,403 | (15.1 | )% | ¥ | 91,149 | ¥ | 202,329 | |||||||
North America |
169,368 | (10.7 | ) | 189,610 | 398,708 | ||||||||||
Europe |
17,349 | 940.1 | 1,668 | 14,185 | |||||||||||
Asia |
24,138 | 24.9 | 19,320 | 37,809 | |||||||||||
Others |
11,299 | (18.0 | ) | 13,779 | 23,211 | ||||||||||
Eliminations |
2,314 | 8,343 | 13,207 | ||||||||||||
Consolidated |
¥ | 301,871 | (6.8 | )% | ¥ | 323,869 | ¥ | 689,449 | |||||||
* | The geographical segmentation is based on the location where sales originated. |
* | In addition to the four conventional regions, Japan, North America, Europe and Others, Asia is newly segmented from the first half. |
3
For the years ended March 31, 2000, 2001, 2002 and 2003 and the six months ended September 30, 2003 Honda Motor Co., Ltd. and Subsidiaries |
Year ended March 31, 2000 |
Year ended March 31, 2001 |
Year ended March 31, 2002 |
Year ended March 31, 2003 |
Six months ended September 30, 2003 | ||||||||||
Net sales and other operating revenue (¥ millions) |
¥ | 6,098,840 | ¥ | 6,463,830 | ¥ | 7,362,438 | ¥ | 7,971,499 | ¥ | 4,025,431 | |||||
Operating income (¥ millions) |
426,230 | 406,960 | 639,296 | 689,449 | 301,871 | ||||||||||
Income before income taxes (¥ millions) |
416,063 | 384,976 | 551,342 | 609,755 | 331,881 | ||||||||||
Net income (¥ millions) |
262,415 | 232,241 | 362,707 | 426,662 | 239,178 | ||||||||||
Net income per common share, basic (¥) |
269.31 | 238.34 | 372.23 | 439.43 | 249.34 | ||||||||||
Net income per common share, diluted (¥) |
269.31 | 238.34 | 372.23 | 439.43 | 249.34 | ||||||||||
Total assets (¥ millions) |
4,898,428 | 5,667,409 | 6,940,795 | 7,681,291 | 7,991,787 | ||||||||||
Total stockholders equity (¥ millions) |
1,930,373 | 2,230,291 | 2,573,941 | 2,629,720 | 2,743,981 | ||||||||||
Stockholders equity per common share (¥) |
1,981.07 | 2,288.87 | 2,641.55 | 2,734.69 | 2,871.68 | ||||||||||
Research and development (¥ millions) |
334,036 | 352,829 | 395,176 | 436,863 | 218,872 | ||||||||||
Capital expenditures (¥ millions) |
222,891 | 285,687 | 303,424 | 316,991 | 128,033 | ||||||||||
Depreciation (¥ millions) |
172,139 | 170,342 | 194,944 | 220,874 | 103,592 | ||||||||||
4
CONSOLIDATED STATEMENTS OF INCOME
For the six months ended September 30, 2003 and 2002 Honda Motor Co., Ltd. and Subsidiaries |
Yen (millions) |
|||||||
Six months ended September 30, 2003 |
Six months ended September 30, 2002 |
|||||||
Net sales and other operating revenue |
¥ | 4,025,431 | ¥ | 3,853,611 | ||||
Operating costs and expenses: |
||||||||
Cost of sales |
2,784,909 | 2,614,864 | ||||||
Selling, general and administrative |
719,779 | 701,855 | ||||||
Research and development |
218,872 | 213,023 | ||||||
3,723,560 | 3,529,742 | |||||||
Operating income |
301,871 | 323,869 | ||||||
Other income: |
||||||||
Interest |
5,297 | 4,093 | ||||||
Other |
39,412 | 5,541 | ||||||
44,709 | 9,634 | |||||||
Other expenses: |
||||||||
Interest |
5,527 | 6,377 | ||||||
Other |
9,172 | 53,425 | ||||||
14,699 | 59,802 | |||||||
Income before income taxes |
331,881 | 273,701 | ||||||
Income taxes |
128,702 | 107,184 | ||||||
Income before equity in income of affiliates |
203,179 | 166,517 | ||||||
Equity in income of affiliates |
35,999 | 28,262 | ||||||
Net income |
239,178 | 194,779 | ||||||
Retained earnings: |
||||||||
Balance at beginning of period |
3,161,664 | 2,765,600 | ||||||
Cash dividends paid |
(15,386 | ) | (14,616 | ) | ||||
Transfer to legal reserves |
(2,944 | ) | (43 | ) | ||||
Balance at end of period |
¥ | 3,382,512 | ¥ | 2,945,720 | ||||
Yen |
||||||||
Six months ended September 30, 2002 |
Six months ended September 30, 2001 |
|||||||
Basis net income per common share |
¥ | 249.34 | ¥ | 199.98 | ||||
Basis net income per American share |
124.67 | 99.99 | ||||||
5
March 31, 2003 and September 30, 2003 and 2002 Honda Motor Co., Ltd. and Subsidiaries |
Yen (millions) | ||||||||
Assets |
September 30, 2003 |
March 31, 2003 |
September 30, 2002 | ||||||
(Unaudited) | (Audited) | (Unaudited) | |||||||
Current assets: |
|||||||||
Cash and cash equivalents |
¥ | 624,842 | ¥ | 547,404 | ¥ | 518,408 | |||
Trade accounts and notes receivable |
320,461 | 444,498 | 332,185 | ||||||
Finance subsidiariesreceivables, net |
1,081,896 | 1,097,541 | 980,852 | ||||||
Inventories |
784,796 | 751,980 | 670,268 | ||||||
Deferred income taxes |
200,134 | 202,376 | 205,290 | ||||||
Other current assets |
311,660 | 248,561 | 227,826 | ||||||
Total current assets |
3,323,789 | 3,292,360 | 2,934,829 | ||||||
Finance subsidiariesreceivables, net |
2,416,333 | 2,230,020 | 2,024,071 | ||||||
Investments and advances |
482,839 | 412,971 | 395,138 | ||||||
Property, plant and equipment, at cost: |
|||||||||
Land |
347,596 | 342,991 | 336,708 | ||||||
Buildings |
932,332 | 942,747 | 912,139 | ||||||
Machinery and equipment |
1,986,273 | 2,023,724 | 2,018,426 | ||||||
Construction in progress |
93,159 | 72,112 | 96,542 | ||||||
3,359,360 | 3,381,574 | 3,363,815 | |||||||
Less accumulated depreciation |
1,970,848 | 1,987,231 | 1,987,880 | ||||||
Net property, plant and equipment |
1,388,512 | 1,394,343 | 1,375,935 | ||||||
Other assets |
380,314 | 351,597 | 241,612 | ||||||
Total assets |
¥ | 7,991,787 | ¥ | 7,681,291 | ¥ | 6,971,585 | |||
6
Yen (millions) |
||||||||||||
Liabilities and Stockholders Equity |
September 30, 2003 |
March 31, 2003 |
September 30, 2002 |
|||||||||
(Unaudited) | (Audited) | (Unaudited) | ||||||||||
Current liabilities: |
||||||||||||
Short-term debt |
¥ | 803,532 | ¥ | 877,954 | ¥ | 937,819 | ||||||
Current portion of long-term debt |
405,533 | 304,342 | 142,231 | |||||||||
Trade payables |
766,238 | 830,671 | 775,584 | |||||||||
Accrued expenses |
789,475 | 777,492 | 719,596 | |||||||||
Income taxes payable |
65,439 | 64,179 | 66,269 | |||||||||
Other current liabilities |
324,475 | 267,752 | 232,643 | |||||||||
Total current liabilities |
3,154,692 | 3,122,390 | 2,874,142 | |||||||||
Long-term debt |
1,283,072 | 1,140,182 | 953,833 | |||||||||
Other liabilities |
810,042 | 788,999 | 550,260 | |||||||||
Total liabilities |
5,247,806 | 5,051,571 | 4,378,235 | |||||||||
Stockholders equity: |
||||||||||||
Common stock |
86,067 | 86,067 | 86,067 | |||||||||
Capital surplus |
172,719 | 172,529 | 172,529 | |||||||||
Legal reserves |
32,335 | 29,391 | 29,012 | |||||||||
Retained earnings |
3,382,512 | 3,161,664 | 2,945,720 | |||||||||
Adjustments from foreign currency translation |
(567,690 | ) | (469,472 | ) | (455,149 | ) | ||||||
Net unrealized gains on marketable equity securities |
31,544 | 14,820 | 12,611 | |||||||||
Minimum pension liabilities adjustments |
(308,384 | ) | (308,513 | ) | (187,824 | ) | ||||||
Accumulated other comprehensive income (loss) |
(844,530 | ) | (763,165 | ) | (630,362 | ) | ||||||
Treasury stock |
(85,122 | ) | (56,766 | ) | (9,616 | ) | ||||||
Total stockholders equity |
2,743,981 | 2,629,720 | 2,593,350 | |||||||||
Total liabilities and stockholders equity |
¥ | 7,991,787 | ¥ | 7,681,291 | ¥ | 6,971,585 | ||||||
7
CONSOLIDATED STATEMENTS OF CASH FLOWS
For the six months ended September 30, 2003 and 2002 Honda Motor Co., Ltd. and Subsidiaries |
Yen (millions) |
|||||||
Six months ended September 30, 2003 |
Six months ended September 30, 2002 |
|||||||
Cash flows from operating activities: |
||||||||
Net income |
¥ | 239,178 | ¥ | 194,779 | ||||
Adjustments to reconcile net income to net cash provided by operating activities: |
||||||||
Depreciation |
103,592 | 102,105 | ||||||
Deferred income taxes |
66,145 | (8,713 | ) | |||||
Equity in income of affiliates |
(35,999 | ) | (28,262 | ) | ||||
Loss on fair value adjustment of derivative instrument (profit) |
(44,410 | ) | 43,462 | |||||
Decrease (increase) in assets: |
||||||||
Trade accounts and notes receivable |
117,169 | 97,858 | ||||||
Inventories |
(50,251 | ) | (62,948 | ) | ||||
Increase (decrease) in trade payables |
(36,811 | ) | (26,445 | ) | ||||
Other, net |
(56,008 | ) | 60,393 | |||||
Net cash provided by operating activities |
302,605 | 372,229 | ||||||
Cash flows from investing activities: |
||||||||
Decrease (increase) in investments and advances |
21,109 | 11,785 | ||||||
Capital expenditures |
(128,033 | ) | (133,290 | ) | ||||
Proceeds from sales of property, plant and equipment |
7,609 | 5,517 | ||||||
Decrease (increase) in finance subsidiariesreceivables |
(425,584 | ) | (417,561 | ) | ||||
Net cash used in investing activities |
(524,899 | ) | (533,549 | ) | ||||
Cash flows from financing activities: |
||||||||
Increase (decrease) in short-term debt |
19,679 | (4,164 | ) | |||||
Proceeds from long-term debt |
412,544 | 349,893 | ||||||
Repayment of long-term debt |
(76,343 | ) | (229,568 | ) | ||||
Acquisition of treasury stock |
(28,769 | ) | (9,567 | ) | ||||
Cash dividends paid |
(15,386 | ) | (14,616 | ) | ||||
Increase (decrease) in commercial paper classified as long-term debt |
354 | 2,069 | ||||||
Net cash provided by (used in) financing activities |
312,079 | 94,047 | ||||||
Effect of exchange rate changes on cash and cash equivalents |
(12,347 | ) | (23,760 | ) | ||||
Net change in cash and cash equivalents |
77,438 | (91,033 | ) | |||||
Cash and cash equivalents at beginning of year |
547,404 | 609,441 | ||||||
Cash and cash equivalents at end of year |
¥ | 624,842 | ¥ | 518,408 | ||||
8
Honda Motor Co., Ltd. and Subsidiaries
1. The Company prepares its consolidated financial statements in conformity with accounting principles generally accepted in the United States because the Company has issued American Depositary Receipts listed on the New York Stock Exchange and files reports with the U.S. Securities and Exchange Commission. All segment information, however, is prepared in accordance with a Ministerial Ordinance under the Securities and Exchange Law of Japan.
2. The average exchange rates for the fiscal second quarter ended September 30, 2003 were ¥117.60=U.S.$1 and ¥132.26=euro1. The average exchange rates for the corresponding period last year were ¥119.24=U.S.$1 and ¥117.32=euro1.
3. United States dollar amounts have been translated from yen solely for the convenience of the reader at the rate of ¥111.25=U.S.$1, the mean of the telegraphic transfer selling exchange rate and the telegraphic transfer buying exchange rate prevailing on the Tokyo foreign exchange market on September 30, 2003.
4. The Companys Common Stock-to-ADR exchange rate was changed from two shares of Common Stock to one ADR to one share of Common Stock to two ADRs, effective January 10, 2002.
5. The Company has adopted the provisions of Statement of Financial Accounting Standards (SFAS) No. 130, Reporting Comprehensive Income. The following table represents components of the Companys comprehensive income. Other comprehensive income (loss) consists of changes in adjustments from foreign currency translation, net unrealized gains on marketable equity securities and minimum pension liabilities adjustment.
Yen (millions) |
||||||||
Six months ended |
Six months ended |
|||||||
Net income |
¥ | 239,178 | ¥ | 194,779 | ||||
Other comprehensive income (loss) |
(81,365 | ) | (151,187 | ) | ||||
Comprehensive income (loss) |
¥ | 157,813 | ¥ | 43,592 | ||||
6. Certain reclassifications have been made to the prior years consolidated financial statements to conform those financial statements to the presentation used for the fiscal second quarter ended September 30, 2003.
7. The number of treasury stocks has been excluded from the calculation for basic net income per common share.
9
CONSOLIDATED STATEMENTS OF CASH FLOWS
Divided into Non-financial Services Businesses and Finance Subsidiaries (Unaudited)
For the six months ended September 30, 2003 Honda Motor Co., Ltd. and Subsidiaries |
Yen (millions) |
|||||||
Six months ended September 30, 2003 |
||||||||
Non-financial services businesses |
Finance subsidiaries |
|||||||
Cash flows from operating activities: |
||||||||
Net income |
¥ | 215,830 | ¥ | 23,373 | ||||
Adjustments to reconcile net income to net cash provided by operating activities: |
||||||||
Depreciation |
103,397 | 195 | ||||||
Deferred income taxes |
23,620 | 42,525 | ||||||
Equity in income of affiliates |
(35,947 | ) | | |||||
Loss on fair value adjustment of derivative instrument (profit) |
(42,848 | ) | (1,562 | ) | ||||
Decrease (increase) in trade accounts and notes receivable |
112,349 | | ||||||
Decrease (increase) in inventories |
(50,251 | ) | | |||||
Increase (decrease) in trade payables |
(37,392 | ) | | |||||
Other, net |
(35,087 | ) | (16,345 | ) | ||||
Net cash provided by operating activities |
253,671 | 48,186 | ||||||
Cash flows from investing activities: |
||||||||
Decrease (increase) in investments and advances* |
33,460 | 19 | ||||||
Capital expenditures |
(127,870 | ) | (163 | ) | ||||
Proceeds from sales of property, plant and equipment |
5,014 | 2,595 | ||||||
Decrease (increase) in finance subsidiariesreceivables |
| (430,018 | ) | |||||
Net cash used in investing activities |
(89,396 | ) | (427,567 | ) | ||||
Free cash flow (cash flows from operating and investing activities) |
164,275 | (379,381 | ) | |||||
Free cash flow of non-financial services businesses excluding the increase in loans (amounting to ¥81,986 million) to finance subsidiaries (Note) |
149,966 | | ||||||
Cash flows from financing activities: |
||||||||
Increase (decrease) in short-term debt* |
(22,570 | ) | 26,099 | |||||
Proceeds from long-term debt* |
5,126 | 414,720 | ||||||
Repayment of long-term debt* |
(5,684 | ) | (70,834 | ) | ||||
Proceeds from issuance of common stock |
| 1,860 | ||||||
Acquisition of treasury stock |
(28,769 | ) | | |||||
Cash dividends paid |
(15,411 | ) | | |||||
Increase (decrease) in commercial paper classified as long-term debt |
| 354 | ||||||
Net cash provided by financing activities |
(67,308 | ) | 372,199 | |||||
Effect of exchange rate changes on cash and cash equivalents |
(11,582 | ) | (765 | ) | ||||
Net change in cash and cash equivalents |
85,385 | (7,947 | ) | |||||
Cash and cash equivalents at beginning of year |
530,343 | 17,061 | ||||||
Cash and cash equivalents at end of year |
¥ | 615,728 | ¥ | 9,114 | ||||
Notes: | Non-financial services businesses loans to finance subsidiaries. These cash flows were included in the items of Other, net of non-financial services businesses, and Increase (decrease) in short-term debt, and Repayment of long-term debt of finance subsidiaries (marked by *). |
Free cash flow of non-financial services businesses excluding the increase in lending to finance subsidiaries are stated for readers information. |
10
UNCONSOLIDATED FINANCIAL SECTION
11
March 31, 2003 and September 30, 2003 and 2002 Honda Motor Co., Ltd. |
Yen (millions) |
|||||||||||
Assets |
September 30, 2003 |
March 31, 2003 |
September 30, 2002 |
|||||||||
Current assets |
¥ | 843,731 | ¥ | 829,444 | ¥ | 783,642 | ||||||
Cash and bank deposits |
313,546 | 236,336 | 165,257 | |||||||||
Notes/accounts receivable |
233,424 | 281,278 | 235,441 | |||||||||
Inventories |
130,360 | 129,999 | 119,092 | |||||||||
Other |
169,548 | 185,533 | 266,744 | |||||||||
Allowance for doubtful accounts |
(3,149 | ) | (3,704 | ) | (2,895 | ) | ||||||
Fixed assets |
1,274,329 | 1,231,887 | 1,217,210 | |||||||||
Tangible fixed assets |
598,854 | 593,607 | 583,016 | |||||||||
Buildings |
183,176 | 174,581 | 168,358 | |||||||||
Machinery and equipment |
83,428 | 87,484 | 93,153 | |||||||||
Land |
252,944 | 249,258 | 242,710 | |||||||||
Other |
79,304 | 82,283 | 78,794 | |||||||||
Intangible fixed assets |
6,155 | 5,688 | 3,467 | |||||||||
Investments and others |
669,319 | 632,592 | 630,727 | |||||||||
Investment securities |
501,218 | 466,527 | 471,267 | |||||||||
Other investments |
187,773 | 185,876 | 178,911 | |||||||||
Allowance for doubtful accounts |
(19,673 | ) | (19,812 | ) | (19,451 | ) | ||||||
Total assets |
¥ | 2,118,061 | ¥ | 2,061,331 | ¥ | 2,000,853 | ||||||
Explanatory note: The amounts described above disregard figures of less than one million yen.
12
Yen (millions) |
||||||||||||
Liabilities and Stockholders Equity |
September 30, 2003 |
March 31, 2003 |
September 30, 2002 |
|||||||||
Current liabilities |
¥ | 481,579 | ¥ | 525,315 | ¥ | 500,231 | ||||||
Notes/accounts payable |
274,306 | 280,392 | 293,055 | |||||||||
Short-term bank loans |
2,554 | 3,352 | 626 | |||||||||
Accrued expenses |
21,736 | 36,478 | 31,655 | |||||||||
Accrued product warranty |
47,666 | 47,978 | 43,078 | |||||||||
Accrued employees bonuses |
36,046 | 41,132 | 31,440 | |||||||||
Other |
99,269 | 115,982 | 100,376 | |||||||||
Fixed liabilities |
131,066 | 114,761 | 91,079 | |||||||||
Long-term bank loans |
798 | 883 | 949 | |||||||||
Reserve for product warranties |
37,172 | 38,313 | 30,444 | |||||||||
Accrued employees retirement benefits |
83,257 | 65,176 | 49,474 | |||||||||
Other |
9,838 | 10,388 | 10,211 | |||||||||
Total liabilities |
612,646 | 640,077 | 591,311 | |||||||||
Common stock |
86,067 | 86,067 | 86,067 | |||||||||
Capital surplus |
170,504 | 168,912 | 168,912 | |||||||||
Retained earnings (including legal reserves) |
1,295,782 | 1,201,333 | 1,138,572 | |||||||||
Unrealized gains on securities available for sale |
38,183 | 21,707 | 25,606 | |||||||||
Treasury stock |
(85,122 | ) | (56,766 | ) | (9,616 | ) | ||||||
Total stockholders equity |
1,505,415 | 1,421,254 | 1,409,541 | |||||||||
Total liabilities and stockholders equity |
¥ | 2,118,061 | ¥ | 2,061,331 | ¥ | 2,000,853 | ||||||
Note: | Reclassifications on stockholders equity have been made to the prior periods-end to conform to the Amended Regulations Concerning the Terms, Forms and Methods of Preparation of Semi-annual Financial Statements, Etc. |
13
UNCONSOLIDATED STATEMENTS OF INCOME
For the six months ended September 30, 2003 and 2002 and forecasts for fiscal year ending March 31, 2004 Honda Motor Co., Ltd. |
Yen (millions) | ||||||||||
FORECASTS* | |||||||||||
Six months ended September 30, 2003 |
Six months ended September 30, 2002 |
Fiscal year March 31, | |||||||||
Ordinary profit and loss: |
|||||||||||
Operating profit and loss: |
|||||||||||
Operating revenue: |
|||||||||||
Net sales |
¥ | 1,580,708 | ¥ | 1,625,558 | ¥ | 3,310,000 | |||||
Operating expenses: |
|||||||||||
Cost of sales |
1,036,615 | 1,108,036 | |||||||||
Selling, general and administrative expenses |
453,792 | 451,359 | |||||||||
Operating profit |
90,299 | 66,162 | |||||||||
Non-operating profit |
70,586 | 62,837 | |||||||||
Non-operating expenses |
8,753 | 8,238 | |||||||||
Ordinary profit |
152,131 | 120,762 | 278,000 | ||||||||
Extraordinary profit |
1,987 | 1,474 | |||||||||
Extraordinary loss |
4,310 | 4,108 | |||||||||
Income before income taxes |
149,809 | 118,128 | |||||||||
Income taxes: |
|||||||||||
Current |
46,148 | 51,883 | |||||||||
Deferred |
(6,654 | ) | (25,469 | ) | |||||||
Net income |
110,315 | 91,714 | 202,000 | ||||||||
Unappropriated retained earnings at beginning of period |
33,918 | 32,366 | |||||||||
Unappropriated retained earnings at end of period |
¥ | 144,233 | ¥ | 124,081 | |||||||
Explanatory note: The amounts described above disregard figures of less than one million yen.
* | These forecasts are based on the assumption that the exchange rates for the yen to the U.S. dollar and the euro for the current fiscal year will average ¥115 and ¥127, respectively. This announcement contains forward-looking statements within the meaning of Section 21E of the U.S. Securities Exchange Act of 1934. Hondas actual results could materially differ from those contained in these forward-looking statements as a result of numerous factors outside of Hondas control. Such factors include general economic conditions in Hondas principal markets, and foreign exchange rates between the Japanese yen and other major currencies, as well as other factors detailed from time to time in Hondas reports filed with the U.S. Securities and Exchange Commission. |
14
As of September 30, 2003 Honda Motor Co., Ltd. |
||||
Number of shares authorized to be issued |
3,600,000,000 shares | |||
Number of shares issued and outstanding |
974,414,215 shares | |||
Number of stockholders |
56,386 | |||
Share prices (closing prices on the Tokyo Stock Exchange) |
High | ¥5,510 (September 2003) | ||
Low | ¥3,570 (April 2003) | |||
Close | ¥4,470 (September 30, 2003) |
As of September 30, 2003 Honda Motor Co., Ltd. |
Number of stockholders |
Number of shares held (thousands) | ||
Individuals and others |
54,419 | 64,029 | ||
Government and municipal corporations |
1 | 4 | ||
Financial institutions |
266 | 475,834 | ||
Securities companies |
41 | 3,500 | ||
Domestic companies and others |
715 | 98,324 | ||
Foreign institutions and individuals |
943 | 313,836 | ||
Treasury stock |
1 | 18,884 | ||
Total |
56,386 | 974,414 | ||
Explanatory notes: | 1. | The number of shares described above disregard figures of less than one thousand shares. | ||
2. | Domestic companies and others include shares of the Japan Securities Depository Center. |
As of September 30, 2003 Honda Motor Co., Ltd. |
Number of shares held (thousands) |
% | ||
Japan Trustee Services Bank, Ltd. |
48,958 | 5.0 | ||
State Street Bank and Trust Company, N.A. |
41,768 | 4.3 | ||
The Master Trust Bank of Japan, Ltd. |
41,360 | 4.2 | ||
The Bank of Tokyo-Mitsubishi, Ltd. |
40,555 | 4.2 | ||
The Tokio Marine & Fire Insurance Co., Ltd. |
37,459 | 3.8 | ||
The Chase Manhattan Bank, N.A., London |
30,442 | 3.1 | ||
Meiji Life Insurance Company |
28,444 | 2.9 | ||
UFJ Bank, Limited |
25,929 | 2.7 | ||
Sompo Japan Insurance Inc. |
23,830 | 2.4 | ||
The Mitsubishi Trust & Banking Corp. |
21,769 | 2.2 | ||
Explanatory notes: | 1. | The number of shares described above disregard figures of less than one thousand shares. | ||
2. | Number of shares of the Companys common stock held by Japan Trustee Services Bank, Ltd., The Master Trust Bank of Japan, Ltd., are owned exclusively in connection with their trust businesses. | |||
3. | State Street Bank and Trust Company, N.A. and The Chase Manhattan Bank, N.A., London conduct custody services of the Companys common stock mainly owned by institutional investors in Europe and the United States and are also nominees of shares of the Companys common stock held by such institutional investors. |
15
FIVE-YEAR FINANCIAL RESULTS (UNCONSOLIDATED)
For the years ended March 31, 2000, 2001, 2002 and 2003 and the six months ended September 30, 2003 Honda Motor Co., Ltd. |
Year ended March 31, 2000 |
Year ended March 31, 2001 |
Year ended March 31, 2002 |
Year ended March 31, 2003 |
Six months ended September 30, 2003 |
|||||||||||||||
Net sales (¥ millions) |
¥ | 2,919,840 | ¥ | 3,042,022 | ¥ | 3,211,186 | ¥ | 3,322,719 | ¥ | 1,580,708 | ||||||||||
Ordinary profit (¥ millions) |
201,440 | 137,374 | 218,987 | 242,680 | 152,131 | |||||||||||||||
Net income (¥ millions) |
135,322 | 11,326 | 134,925 | 170,035 | 110,315 | |||||||||||||||
Net income per common share (¥) |
138.88 | 11.62 | 138.47 | 174.63 | 115.00 | |||||||||||||||
Total assets (¥ millions) |
1,758,588 | 1,765,814 | 1,937,805 | 2,061,331 | 2,118,061 | |||||||||||||||
Stockholders equity (¥ millions) |
1,212,899 | 1,236,686 | 1,342,648 | 1,421,254 | 1,505,415 | |||||||||||||||
Stockholders equity per common share (¥) |
1,244.75 | 1,269.16 | 1,377.92 | 1,477.49 | 1,575.48 | |||||||||||||||
Common stock (¥ millions) |
86,067 | 86,067 | 86,067 | 86,067 | 86,067 | |||||||||||||||
Stockholders equity ratio (%) |
69.0 | % | 70.0 | % | 69.3 | % | 68.9 | % | 71.1 | % | ||||||||||
Explanatory note: The amounts over one million yen described above disregard figures of less than one million yen.
16
As of September 30, 2003 |
||
Chairman and Representative Director | Directors | |
Yoshihide Munekuni |
Satoru Kishi | |
Mikio Yoshimi | ||
President and Representative Director | Masaaki Kato | |
Takeo Fukui |
Shigeru Takagi | |
Masahiro Yoshimura | ||
Executive Vice President and Representative Director | Hiroshi Kuroda | |
Koichi Amemiya |
Akio Hamada | |
Teruo Kowashi | ||
Senior Managing and Representative Directors | Seiichi Moriguchi | |
Michiyoshi Hagino |
Tetsuo Iwamura | |
Minoru Harada |
Takashi Yamamoto | |
Motoatsu Shiraishi |
Masaru Takabayashi | |
Satoshi Aoki |
Tatsuhiro Oyama | |
Hiroshi Okubo |
Suguru Kanazawa | |
Manabu Nishimae | ||
Managing Directors | Fumihiko Ike | |
Atsuyoshi Hyogo |
Masaya Yamashita | |
Satoshi Dobashi |
Hiroshi Kobayashi | |
Satoshi Toshida |
||
Koki Hirashima |
Director and Advisor | |
Koichi Kondo |
Hiroyuki Yoshino | |
Yasuo Ikenoya |
||
Toru Onda |
Corporate Auditors | |
Akira Takano |
Kunihiro Chujo* | |
Takanobu Ito |
Koji Miyajima* | |
Koukei Higuchi | ||
Kuniyasu Yamada | ||
* Full-time service auditor |
17
Printed in Japan
HONDA MOTOR CO., LTD. AND SUBSIDIARIES
Consolidated Financial Statements
September 30, 2003
HONDA MOTOR CO., LTD. AND SUBSIDIARIES
Consolidated Balance Sheets
September 30, 2002 and 2003 and March 31, 2003
Yen (millions) |
||||||||||||
September 30, 2002 |
September 30, 2003 |
March 31, 2003 |
||||||||||
unaudited | unaudited | audited | ||||||||||
Assets | ||||||||||||
Current assets: |
||||||||||||
Cash and cash equivalents |
¥ | 518,408 | ¥ | 624,842 | ¥ | 547,404 | ||||||
Trade accounts and notes receivable, net of allowance for doubtful accounts of ¥7,310 million at September 30, 2002, ¥7,785 million at September 30, 2003 and ¥8,343 million at March 31, 2003 |
332,185 | 320,461 | 444,498 | |||||||||
Finance subsidiaries-receivables, net (note 2) |
980,852 | 1,081,896 | 1,097,541 | |||||||||
Inventories (note 3) |
670,268 | 784,796 | 751,980 | |||||||||
Deferred income taxes |
205,290 | 200,134 | 202,376 | |||||||||
Other current assets |
227,826 | 311,660 | 248,561 | |||||||||
Total current assets |
2,934,829 | 3,323,789 | 3,292,360 | |||||||||
Finance subsidiaries-receivables, net (note 2) |
2,024,071 | 2,416,333 | 2,230,020 | |||||||||
Investments and advances: |
||||||||||||
Investments in and advances to affiliates |
249,877 | 293,001 | 272,753 | |||||||||
Other, including marketable equity securities (note 4) |
145,261 | 189,838 | 140,218 | |||||||||
Total investments and advances |
395,138 | 482,839 | 412,971 | |||||||||
Property, plant and equipment, at cost (note 5): |
||||||||||||
Land |
336,708 | 347,596 | 342,991 | |||||||||
Buildings |
912,139 | 932,332 | 942,747 | |||||||||
Machinery and equipment |
2,018,426 | 1,986,273 | 2,023,724 | |||||||||
Construction in progress |
96,542 | 93,159 | 72,112 | |||||||||
3,363,815 | 3,359,360 | 3,381,574 | ||||||||||
Less accumulated depreciation |
1,987,880 | 1,970,848 | 1,987,231 | |||||||||
Net property, plant and equipment |
1,375,935 | 1,388,512 | 1,394,343 | |||||||||
Other assets |
241,612 | 380,314 | 351,597 | |||||||||
Total assets |
¥ | 6,971,585 | ¥ | 7,991,787 | ¥ | 7,681,291 | ||||||
Liabilities and Stockholders Equity | ||||||||||||
Current liabilities: |
||||||||||||
Short-term debt (note 5) |
¥ | 937,819 | ¥ | 803,532 | ¥ | 877,954 | ||||||
Current portion of long-term debt (note 5) |
142,231 | 405,533 | 304,342 | |||||||||
Trade payables: |
||||||||||||
Notes |
24,736 | 26,570 | 26,076 | |||||||||
Accounts |
750,848 | 739,668 | 804,595 | |||||||||
Accrued expenses |
719,596 | 789,475 | 777,492 | |||||||||
Income taxes payable |
66,269 | 65,439 | 64,179 | |||||||||
Other current liabilities |
232,643 | 324,475 | 267,752 | |||||||||
Total current liabilities |
2,874,142 | 3,154,692 | 3,122,390 | |||||||||
Long-term debt (note 5) |
953,833 | 1,283,072 | 1,140,182 | |||||||||
Other liabilities (note 6) |
550,260 | 810,042 | 788,999 | |||||||||
Total liabilities |
4,378,235 | 5,247,806 | 5,051,571 | |||||||||
Stockholders equity: |
||||||||||||
Common stock, authorized 3,600,000,000 shares ; issued 974,414,215 shares at September 30, 2002 and 2003 and March 31, 2003 |
86,067 | 86,067 | 86,067 | |||||||||
Capital surplus |
172,529 | 172,719 | 172,529 | |||||||||
Legal reserves |
29,012 | 32,335 | 29,391 | |||||||||
Retained earnings |
2,945,720 | 3,382,512 | 3,161,664 | |||||||||
Accumulated other comprehensive income (loss) (notes 4 and 8) |
(630,362 | ) | (844,530 | ) | (763,165 | ) | ||||||
Treasury stock, at cost 1,932,337 shares at September 30, 2002, 18,884,208 shares at September 30, 2003 and 12,797,465 shares at March 31, 2003 |
(9,616 | ) | (85,122 | ) | (56,766 | ) | ||||||
Total stockholders equity |
2,593,350 | 2,743,981 | 2,629,720 | |||||||||
Commitments and contingent liabilities (notes 11 and 12) |
||||||||||||
Total liabilities and stockholders equity |
¥ | 6,971,585 | ¥ | 7,991,787 | ¥ | 7,681,291 | ||||||
See accompanying notes to consolidated financial statements.
HONDA MOTOR CO., LTD. AND SUBSIDIARIES
Consolidated Statements of Income
For the six months ended September 30, 2002 and 2003 and the year ended March 31, 2003
Yen (millions) | ||||||||||
September 30, 2002 |
September 30, 2003 |
March 31, 2003 | ||||||||
unaudited | unaudited | audited | ||||||||
Net sales and other operating revenue |
¥ | 3,853,611 | ¥ | 4,025,431 | ¥ | 7,971,499 | ||||
Operating costs and expenses: |
||||||||||
Cost of sales |
2,614,864 | 2,784,909 | 5,410,192 | |||||||
Selling, general and administrative |
701,855 | 719,779 | 1,434,995 | |||||||
Research and development |
213,023 | 218,872 | 436,863 | |||||||
3,529,742 | 3,723,560 | 7,282,050 | ||||||||
Operating income |
323,869 | 301,871 | 689,449 | |||||||
Other income (note 1 (q)): |
||||||||||
Interest |
4,093 | 5,297 | 7,445 | |||||||
Other |
5,541 | 39,412 | 5,741 | |||||||
9,634 | 44,709 | 13,186 | ||||||||
Other expenses (note 1(q)): |
||||||||||
Interest |
6,377 | 5,527 | 12,207 | |||||||
Other |
53,425 | 9,172 | 80,673 | |||||||
59,802 | 14,699 | 92,880 | ||||||||
Income before income taxes and equity in income of affiliates |
273,701 | 331,881 | 609,755 | |||||||
Income taxes : |
||||||||||
Current |
115,897 | 62,557 | 176,632 | |||||||
Deferred |
(8,713 | ) | 66,145 | 68,433 | ||||||
107,184 | 128,702 | 245,065 | ||||||||
Income before equity in income of affiliates |
166,517 | 203,179 | 364,690 | |||||||
Equity in income of affiliates |
28,262 | 35,999 | 61,972 | |||||||
Net income |
¥ | 194,779 | ¥ | 239,178 | ¥ | 426,662 | ||||
Yen | ||||||||||
September 30, 2002 |
September 30, 2003 |
March 31, 2003 | ||||||||
Basic net income per common share (note 1(o)): |
||||||||||
¥ | 199.98 | ¥ | 249.34 | ¥ | 439.43 | |||||
See accompanying notes to consolidated financial statements.
HONDA MOTOR CO., LTD. AND SUBSIDIARIES
Consolidated Statements of Stockholders Equity
For the six months ended September 30, 2002 and 2003 and the year ended March 31, 2003
Yen (millions) |
||||||||||||
September 30, 2002 |
September 30, 2003 |
March 31, 2003 |
||||||||||
unaudited | unaudited | audited | ||||||||||
Common stock: |
||||||||||||
Balance at beginning of the period |
¥ | 86,067 | ¥ | 86,067 | ¥ | 86,067 | ||||||
Balance at end of the period |
86,067 | 86,067 | 86,067 | |||||||||
Capital surplus: |
||||||||||||
Balance at beginning of the period |
172,529 | 172,529 | 172,529 | |||||||||
Reissuance of treasury stock |
| 190 | | |||||||||
Balance at end of the period |
172,529 | 172,719 | 172,529 | |||||||||
Legal reserves: |
||||||||||||
Balance at beginning of the period |
28,969 | 29,391 | 28,969 | |||||||||
Transfer from retained earnings |
43 | 2,944 | 422 | |||||||||
Balance at end of the period |
29,012 | 32,335 | 29,391 | |||||||||
Retained earnings: |
||||||||||||
Balance at beginning of the period |
2,765,600 | 3,161,664 | 2,765,600 | |||||||||
Net income for the period |
194,779 | 239,178 | 426,662 | |||||||||
Cash dividends |
(14,616 | ) | (15,386 | ) | (30,176 | ) | ||||||
Transfer to legal reserves |
(43 | ) | (2,944 | ) | (422 | ) | ||||||
Balance at end of the period |
2,945,720 | 3,382,512 | 3,161,664 | |||||||||
Accumulated other comprehensive income (loss): |
||||||||||||
(notes 4 and 8) |
||||||||||||
Balance at beginning of the period |
(479,175 | ) | (763,165 | ) | (479,175 | ) | ||||||
Other comprehensive income (loss) for the period, net of tax |
(151,187 | ) | (81,365 | ) | (283,990 | ) | ||||||
Balance at end of the period |
(630,362 | ) | (844,530 | ) | (763,165 | ) | ||||||
Treasury stock: |
||||||||||||
Balance at beginning of the period |
(49 | ) | (56,766 | ) | (49 | ) | ||||||
Purchase of treasury stock |
(9,567 | ) | (28,769 | ) | (56,717 | ) | ||||||
Reissuance of treasury stock |
| 413 | | |||||||||
Balance at end of the period |
(9,616 | ) | (85,122 | ) | (56,766 | ) | ||||||
Total stockholders' equity |
¥ | 2,593,350 | ¥ | 2,743,981 | ¥ | 2,629,720 | ||||||
Disclosure of comprehensive income: |
||||||||||||
Net income for the period |
¥ | 194,779 | ¥ | 239,178 | ¥ | 426,662 | ||||||
Other comprehensive income (loss) for the period, net of tax (notes 4 and 8) |
(151,187 | ) | (81,365 | ) | (283,990 | ) | ||||||
Total comprehensive income for the period |
¥ | 43,592 | ¥ | 157,813 | ¥ | 142,672 | ||||||
See accompanying notes to consolidated financial statements.
HONDA MOTOR CO., LTD. AND SUBSIDIARIES
Consolidated Statements of Cash Flows
For the six months ended September 30, 2002 and 2003 and the year ended March 31, 2003
Yen (millions) |
||||||||||||
September 30, 2002 |
September 30, 2003 |
March 31, 2003 |
||||||||||
unaudited | unaudited | audited | ||||||||||
Cash flows from operating activities (note 7): |
||||||||||||
Net income |
¥ | 194,779 | ¥ | 239,178 | ¥ | 426,662 | ||||||
Adjustments to reconcile net income to net cash provided by operating activities: |
||||||||||||
Depreciation |
102,105 | 103,592 | 220,874 | |||||||||
Deferred income taxes |
(8,713 | ) | 66,145 | 68,433 | ||||||||
Equity in income of affiliates |
(28,262 | ) | (35,999 | ) | (61,972 | ) | ||||||
Provision for credit and lease residual losses on finance subsidiaries-receivables |
14,443 | 23,112 | 39,377 | |||||||||
Loss (gain) on derivative instruments and related others |
43,462 | (44,410 | ) | 36,983 | ||||||||
Decrease (increase) in assets: |
||||||||||||
Trade accounts and notes receivable |
97,858 | 117,169 | (16,842 | ) | ||||||||
Inventories |
(62,948 | ) | (50,251 | ) | (146,574 | ) | ||||||
Other current assets |
(82,642 | ) | (122,639 | ) | (104,583 | ) | ||||||
Other assets |
(11,079 | ) | (16,496 | ) | (44,820 | ) | ||||||
Increase (decrease) in liabilities: |
||||||||||||
Trade payables |
(26,445 | ) | (36,811 | ) | 28,675 | |||||||
Accrued expenses |
82,292 | 27,603 | 130,615 | |||||||||
Income taxes payable |
6,315 | 2,231 | 3,964 | |||||||||
Other current liabilities |
24,093 | 23,783 | 17,708 | |||||||||
Other liabilities |
4,898 | 14,047 | 30,412 | |||||||||
Other, net |
22,073 | (7,649 | ) | 59,215 | ||||||||
Net cash provided by operating activities |
372,229 | 302,605 | 688,127 | |||||||||
Cash flows from investing activities: |
||||||||||||
Decrease in investments and advances |
11,785 | 21,109 | 20,737 | |||||||||
Capital expenditures |
(133,290 | ) | (128,033 | ) | (316,991 | ) | ||||||
Proceeds from sales of property, plant and equipment |
5,517 | 7,609 | 16,438 | |||||||||
Acquisitions of finance subsidiaries-receivables |
(1,735,474 | ) | (1,869,625 | ) | (3,265,076 | ) | ||||||
Collections of finance subsidiaries-receivables |
927,562 | 972,602 | 1,710,833 | |||||||||
Proceeds from sales of finance subsidiaries-receivables |
390,351 | 471,439 | 760,500 | |||||||||
Net cash used in investing activities |
(533,549 | ) | (524,899 | ) | (1,073,559 | ) | ||||||
Cash flows from financing activities : |
||||||||||||
Increase (decrease) in short-term debt |
(4,164 | ) | 19,679 | (47,959 | ) | |||||||
Proceeds from long-term debt |
349,893 | 412,544 | 775,987 | |||||||||
Repayment of long-term debt |
(229,568 | ) | (76,343 | ) | (292,063 | ) | ||||||
Cash dividends paid |
(14,616 | ) | (15,386 | ) | (30,176 | ) | ||||||
Increase (decrease) in commercial paper classified as long-term debt |
2,069 | 354 | (2,131 | ) | ||||||||
Payment for purchase of treasury stock |
(9,567 | ) | (28,769 | ) | (56,717 | ) | ||||||
Net cash provided by financing activities |
94,047 | 312,079 | 346,941 | |||||||||
Effect of exchange rate changes on cash and cash equivalents |
(23,760 | ) | (12,347 | ) | (23,546 | ) | ||||||
Net change in cash and cash equivalents |
(91,033 | ) | 77,438 | (62,037 | ) | |||||||
Cash and cash equivalents at beginning of the period |
609,441 | 547,404 | 609,441 | |||||||||
Cash and cash equivalents at end of the period |
¥ | 518,408 | ¥ | 624,842 | ¥ | 547,404 | ||||||
See accompanying notes to consolidated financial statements.
HONDA MOTOR CO., LTD. AND SUBSIDIARIES
Notes to Consolidated Financial Statements
For the six months ended September 30, 2002 and 2003 and the year ended March 31, 2003
(1) | General and Summary of Significant Accounting Policies |
(a) | Financial Statements |
The accompanying semiannual consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (such as Accounting Principles Board Opinions and Statements of Financial Accounting Standards), which is permitted by Regulations Concerning Terminology, Forms and Preparation methods of Semiannual Consolidated Financial Statements (Ordinance of Ministry of Finance No. 24 of 1999), Article 81. In addition, the segment information is prepared based on the Regulations Concerning Terminology, Forms and Preparation methods of Semiannual Consolidated Financial Statements (Ordinance of Ministry of Finance No. 24 of 1999), Article 14. In the opinion of management, all adjustments which are necessary for a fair presentation have been included. The results for interim periods are not necessarily indicative of results which may be expected for any other interim period or for the year. For further information, refer to the March 31, 2003 consolidated financial statements and notes thereto included in Honda Motor Co., Ltd. and Subsidiaries Annual Report for the year ended March 31, 2003. Consolidated financial statements ended March 31, 2003 are derived from the audited consolidated financial statements, while consolidated financial statements ended September 30, 2002 and 2003 are unaudited.
(b) | Description of Business |
Honda Motor Co., Ltd. (the Company) and its subsidiaries (collectively Honda) develop, manufacture, distribute and provide financing for the sale of its motorcycles, automobiles and power products. Hondas manufacturing operations are principally conducted in 25 separate factories, 5 of which are located in Japan. Principal overseas manufacturing facilities are located in the United States of America, Canada, the United Kingdom, France, Italy, Spain, India, Pakistan, the Philippines, Thailand, Vietnam, Brazil and Mexico.
Net sales and other operating revenue by category of activity for the 6 months ended September 30, 2003 were derived from: motorcycle business 11.8%, automobile business 81.2%, financial services 3.1%, and power product and other businesses 3.9%. Operating income by category of activity for the 6 months ended September 30, 2003 was derived from: motorcycle business 2.7%, automobile business 82.4%, financial services 13.5%, and power product and other businesses 1.4%.
Honda sells motorcycles, automobiles and power products in most countries in the world. For the 6 months ended September 30, 2003, 78.4% of net sales and other operating revenue (¥3,154,349 million) was derived from subsidiaries operating outside Japan (2002: ¥2,864,466 million). Net sales and other operating revenue for the 6 months ended September 30, 2003 was geographically broken down based on the location of customers as follows: Japan 18.6%, North America 57.4%, Europe 9.4%, Asia 9.9% and others 4.7%. For the 6 months ended September 30, 2003, 73.6% of operating income (¥222,154 million) was generated from foreign subsidiaries, disregarding the effect of elimination of unrealized profits between domestic operations and foreign operations (2002: ¥224,377 million).
(c) | Basis of Presenting Consolidated Financial Statements |
The Company and its domestic subsidiaries maintain their books of account in conformity with financial accounting standards of Japan, and its foreign subsidiaries generally maintain their books of account in conformity with those of the countries of their domicile.
The consolidated financial statements presented herein have been prepared in a manner and reflect the adjustments which are necessary to conform them with accounting principles generally accepted in the United States of America.
(Continued)
2
HONDA MOTOR CO., LTD. AND SUBSIDIARIES
Notes to Consolidated Financial Statements
(d) | Consolidation Policy |
The consolidated financial statements include the accounts of the Company and its subsidiaries. All significant intercompany balances and transactions have been eliminated in consolidation. Investments in 20% to 50% owned affiliates in which the Company has the ability to exercise significant influence over their operating and financial policies are stated at their underlying equity value.
Minority interests in net assets and income are not significant and, accordingly, are not presented separately in the accompanying consolidated balance sheets and statements of income.
(e) | Use of Estimates |
Management of Honda has made a number of estimates and assumptions relating to the reporting of assets, liabilities, revenues and expenses, and the disclosure of contingent assets and liabilities to prepare these consolidated financial statements in conformity with accounting principles generally accepted in the United States of America. Significant items subject to such estimates and assumptions include allowance for credit losses, allowance for losses on lease residual values, valuation allowance for inventories and deferred tax assets, impairment of long-lived assets, product warranty, and assets and obligations related to employee benefits. Actual results could differ from those estimates.
(f) | Revenue Recognition |
Sales of manufactured products are recognized when persuasive evidence of an arrangement exists, delivery has occurred, title and risk of loss have passed to the customers, the sales price is fixed or determinable, and collectibility is probable. Revenues are recognized net of discounts, cash sales incentives and rebates granted.
Interest income from finance receivables is recognized using the interest method. Finance receivable origination fees and certain direct origination costs are deferred, and the net fee or cost is recognized using the interest method over the contractual life of the finance receivables.
Finance subsidiaries of the Company periodically sell finance receivables. Gain or loss is recognized equal to the difference between the cash proceeds received and the carrying value of the receivables sold and is recorded in the period in which the sale occurs. Honda allocates the recorded investment in finance receivables between the portion(s) of the receivables sold and portion(s) retained based on the relative fair values of those portions on the date the receivables are sold. Honda recognizes gains or losses attributable to the change in the fair value of the retained interests, which are recorded at estimated fair value and accounted for as trading securities. Honda determines the value of the retained interest by discounting the future cash flows. Those cash flows are net of estimated credit losses and are discounted at a rate which Honda believes is commensurate with the risks involved. A servicing asset or liability is amortized in proportion to and over the period of estimated net servicing income. Servicing assets and servicing liabilities at September 30, 2002 and 2003 and March 31, 2003 were not significant.
(Continued)
3
HONDA MOTOR CO., LTD. AND SUBSIDIARIES
Notes to Consolidated Financial Statements
(g) | Cash Equivalents |
Honda considers all highly liquid debt instruments with an original maturity of three months or less to be cash equivalents.
(h) | Inventories |
Inventories are stated at the lower of cost, determined principally by the first-in, first-out method, or market.
(i) | Investments in Securities |
Honda classifies its debt and equity securities in one of three categories: available-for-sale, trading, or held-to-maturity. Debt securities that are classified as held-to-maturity securities are reported at amortized cost. Debt and equity securities classified as trading securities are reported at fair value, with unrealized gains and losses included in earnings. Other debt and equity securities are classified as available-for-sale securities and are reported at fair value, with unrealized gains or losses, net of deferred taxes included in accumulated other comprehensive income (loss) in the stockholders equity section of the consolidated balance sheets. Honda did not hold any trading securities at September 30, 2002 or 2003 or March 31, 2003, except for retained interests in the sold pools of finance receivables, which are accounted for as trading securities and included in finance receivables. Honda did not hold any held-to-maturity securities at September 30, 2002 or 2003 or March 31, 2003.
(j) | Goodwill |
On April 1, 2002, Honda adopted Statement of Financial Accounting Standards (SFAS) No. 142, Goodwill and Intangible Assets and ceased amortizing its goodwill at that time. SFAS No. 142 requires that goodwill be not amortized, but instead be tested for impairment at least annually. Honda completed its transitional impairment test of goodwill effective April 1, 2002 and its annual test effective March 31, 2003 as prescribed by SFAS No. 142 and concluded no impairment needed to be recognized. The carrying amount of goodwill at September 30, 2002 and 2003 and March 31, 2003 were ¥15,809 million, ¥17,532 million and ¥15,566 million, respectively.
(k) | Depreciation |
Depreciation of property, plant and equipment is calculated principally by the declining-balance method based on estimated useful lives of the respective assets.
The estimated useful lives used in computing depreciation of property, plant and equipment are as follows:
Asset |
Life | |
Buildings |
Up to 50 years | |
Machinery and equipment |
2 to 20 years |
(Continued)
4
HONDA MOTOR CO., LTD. AND SUBSIDIARIES
Notes to Consolidated Financial Statements
(l) | Impairment of Long-Lived Assets and Long-Lived Assets to Be Disposed Of |
Honda applies the provisions of Statement of Financial Accounting Standards (SFAS) No. 144, Accounting for the Impairment or Disposal of Long-Lived Assets.
Hondas long-lived assets and certain identifiable intangibles having finite useful lives are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. Recoverability of assets to be held and used is measured by a comparison of the carrying amount of an asset to future net cash flows (undiscounted and without interest charges) expected to be generated by the asset. If such assets are considered to be impaired, the impairment to be recognized is measured by the amount by which the carrying amount of the assets exceeds the fair value of the assets. Assets to be disposed of by sale are reported at the lower of the carrying amount or fair value less costs to sell.
(m) | Income Taxes |
Income taxes are accounted for under the asset and liability method. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases and operating loss and tax credit carryforwards. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in earnings in the period that includes the enactment date.
(n) | Product-Related Expenses |
Advertising and sales promotion costs are expensed as incurred. Provisions for estimated costs related to product warranty are made at the time of sale. Estimated warranty expenses are provided based on historical warranty claim experience with consideration given to the expected level of future warranty costs as well as current information on repair costs. Included in warranty expenses accruals are costs for general warranties on vehicles Honda sells, product recalls and service actions outside the general warranties.
(o) | Basic Net Income per Common Share |
Basic net income per common share has been computed by dividing net income available to common stockholders by the weighted average number of common shares outstanding during each period. The weighted average number of common shares outstanding during the 6 months ended September 30, 2002, 2003 and for the year ended March 31, 2003 was 973,972,176, 959,257,426 and 970,952,677, respectively. There were no potentially dilutive shares outstanding during the 6 months ended September 30, 2002 or 2003 or for the year ended March 31, 2003.
(Continued)
5
HONDA MOTOR CO., LTD. AND SUBSIDIARIES
Notes to Consolidated Financial Statements
(p) | Foreign Currency Translation |
Foreign currency financial statement amounts are translated into Japanese yen on the basis of the period-end rate for all assets and liabilities and the weighted average rate for the period for all income and expense amounts. Translation adjustments resulting therefrom are included in accumulated other comprehensive income (loss) in the stockholders equity section of the consolidated balance sheets.
(q) | Derivative Financial Instruments |
The Company and certain of its subsidiaries have entered into foreign exchange agreements and interest rate agreements to manage currency and interest rate exposures. These instruments include foreign currency forward contracts, currency swap agreements, currency option contracts and interest rate swap agreements.
Honda applies the provisions of Statement of Financial Accounting Standards (SFAS) No. 133, Accounting for Derivative Instruments and Hedging Activities and SFAS No. 138, Accounting for Certain Derivative Instruments and Certain Hedging Activities, an amendment of FASB Statement No. 133. Both standards establish accounting and reporting standards for derivative instruments and for hedging activities, and require that an entity recognize all derivatives as either assets or liabilities in the balance sheet and measure those instruments at fair value. Changes in the fair value of derivatives are recorded each period in current earnings or other comprehensive income (loss), depending on whether a derivative is designated as part of a hedge transaction and the type of hedge transaction. The ineffective portion of all hedges is immediately recognized in earnings.
Because Honda has not elected to apply hedge accounting subsequent to the adoption of SFAS No.133 and SFAS No. 138, changes in the fair value of its derivative instruments are recognized in earnings in the period of the change. The amount recognized in earnings included in other expenses other during the 6 months ended September 30, 2002 and for the year ended March 31, 2003 were ¥31,929 million and ¥19,910 million, respectively, while included in other income other during the 6 months ended September 30, 2003 was ¥67,937 million.
(r) | Shipping and Handling Costs |
Shipping and handling costs are included in selling, general and administrative expenses, and are charged to earnings as incurred.
(Continued)
6
HONDA MOTOR CO., LTD. AND SUBSIDIARIES
Notes to Consolidated Financial Statements
(s) | New Accounting Pronouncements |
In January 2003, the Financial Accounting Standards Board (FASB) issued FASB Interpretation No. (FIN) 46, Consolidation of Variable Interest Entities, an interpretation of ARB No. 51, which clarifies the application of the consolidation rules to certain variable interest entities. FIN 46 established a new multi-step model for the consolidation of variable interest entities when a company has a controlling financial interest based either on voting interests or variable interests. Consolidation based on variable interests is required by the primary beneficiary if the equity investors lack essential characteristics of a controlling financial interest or if the equity investment at risk is not sufficient for the entity to finance its activities without additional subordinated financial support from other parties. FIN 46 also provides disclosure requirements related to investments in variable interest entities, whether or not those entities are consolidated.
On October 9, 2003, the FASB issued FASB Staff Position FIN 46-6 (FSP FIN 46-6), Effective Date of FASB Interpretation No. 46, Consolidation of Variable Interest Entities. FSP FIN 46-6 defers the effective date for applying the provisions of FIN 46 for interests held by public entities in variable interest entities or potential variable interest entities created before February 1, 2003, to the first period ending after December 15, 2003. Honda is required to apply FIN 46 immediately for variable interest entities created subsequent to January 31, 2003, however, there were no significant variable interest entities created after this date that were required to be consolidated by Honda. The initial effect of the adoption of FIN 46 for potential variable interest entities created prior to February 1, 2003, if any, will be reflected as the cumulative effect of a change in accounting principle in Hondas consolidated statement of income for the quarter ending December 31, 2003.
Honda is continuing its analysis of potential variable interest entities created prior to February 1, 2003, which may require consolidations. These potential variable interest entities include special purpose entities, interests in investments accounted for under the equity method, including joint ventures, or cost method of accounting, dealerships, vendors and service providers. Honda believes that the implementation of FIN 46 for these potential variable interest entities is not expected to have a significant effect on Hondas consolidated financial statements.
In January 2003, the Emerging Issues Task Force reached a final consensus on Issue No. 03-2 Accounting for the Transfer to the Japanese Government of the Substitutional Portion of Employee Pension Fund Liabilities (EITF 03-2). EITF 03-2 addresses accounting for a transfer to the Japanese government of a substitutional portion of an Employees Pension Fund (EPF) plan, which is a defined benefit pension plan established under the Welfare Pension Insurance Law. EITF 03-2 requires employers to account for the separation process of the substitutional portion from the entire EPF plan (which includes a corporation portion) upon completion of the transfer to the government of the substitutional portion of the benefit obligation and related plan assets. The separation process is considered the culmination of a series of steps in a single settlement transaction. Under this approach, the difference between the fair value of the obligation and the assets required to be transferred to the government should be accounted for and separately disclosed as a subsidy. The Company has not decided whether it will transfer the substitutional portion to the government. Accordingly, the effect on Hondas consolidated financial statements, if any, cannot be determined until a decision is made and the substitutional portion of the benefit obligation and plan assets are transferred to the government.
(Continued)
7
HONDA MOTOR CO., LTD. AND SUBSIDIARIES
Notes to Consolidated Financial Statements
(t) | Reclassifications |
Certain reclassifications have been made to the prior years consolidated financial statements to conform to the presentation used for the 6 months ended September 30, 2003.
(2) | Finance Subsidiaries - Receivables |
Finance subsidiaries-receivables represent finance receivables generated by finance subsidiaries. Finance receivables include wholesale financing to dealers and retail financing and direct financing leases to consumers.
The allowance for credit losses is maintained at an amount management deems adequate to cover estimated losses on finance receivables. The allowance is based on managements evaluation of many factors, including current economic trends, industry experience, inherent risks in the portfolio and the borrowers ability to pay.
Finance subsidiaries of the Company purchase insurance to cover a substantial amount of the estimated residual value of vehicles leased to customers. The allowance for losses on lease residual values is maintained at an amount management deems adequate to cover estimated losses on the uninsured portion of the vehicles lease residual values. The allowance is also based on managements evaluation of many factors, including current economic conditions, industry experience and the finance subsidiaries historical experience with residual value losses.
(Continued)
8
HONDA MOTOR CO., LTD. AND SUBSIDIARIES
Notes to Consolidated Financial Statements
Finance subsidiaries-receivables, net, consisted of the following at September 30, 2002 and 2003 and March 31, 2003:
Yen (millions) | |||||||||
September 30, 2002 |
September 30, 2003 |
March 31, 2003 | |||||||
Direct financing leases |
¥ | 1,572,938 | ¥ | 1,754,621 | ¥ | 1,701,447 | |||
Retail |
1,381,584 | 1,748,113 | 1,550,787 | ||||||
Wholesale |
179,130 | 165,921 | 241,039 | ||||||
Term loans to dealers |
21,146 | 18,292 | 28,001 | ||||||
Total finance receivables |
3,154,798 | 3,686,947 | 3,521,274 | ||||||
Retained interests in the sold pools of finance receivables |
59,677 | 70,219 | 67,024 | ||||||
3,214,475 | 3,757,166 | 3,588,298 | |||||||
Less: |
|||||||||
Allowance for credit losses |
14,511 | 23,290 | 18,628 | ||||||
Allowance for losses on lease residual values |
17,132 | 23,640 | 22,355 | ||||||
Unearned interest income and fees |
177,909 | 212,007 | 219,754 | ||||||
Finance subsidiaries-receivables, net |
3,004,923 | 3,498,229 | 3,327,561 | ||||||
Less current portion |
980,852 | 1,081,896 | 1,097,541 | ||||||
Noncurrent finance subsidiaries-receivables, net |
¥ | 2,024,071 | ¥ | 2,416,333 | ¥ | 2,230,020 | |||
(3) | Inventories |
Inventories at September 30, 2002 and 2003 and March 31, 2003 are summarized as follows:
Yen (millions) | |||||||||
September 30, 2002 |
September 30, 2003 |
March 31, 2003 | |||||||
Finished goods |
¥ | 448,147 | ¥ | 531,186 | ¥ | 504,548 | |||
Work in process |
24,719 | 27,968 | 23,728 | ||||||
Raw materials |
197,402 | 225,642 | 223,704 | ||||||
¥ | 670,268 | ¥ | 784,796 | ¥ | 751,980 | ||||
(Continued)
9
HONDA MOTOR CO., LTD. AND SUBSIDIARIES
Notes to Consolidated Financial Statements
(4) | Investments and Advances-Other |
Investments and advances-other at September 30, 2002 and 2003 and March 31, 2003 consisted of the following:
Yen (millions) | |||||||||
September 30, 2002 |
September 30, 2003 |
March 31, 2003 | |||||||
Marketable equity securities |
¥ | 79,187 | ¥ | 92,891 | ¥ | 66,841 | |||
Nonmarketable preferred stocks |
14,200 | 16,200 | 16,200 | ||||||
Guaranty deposits |
33,603 | 32,112 | 32,162 | ||||||
Life insurance contracts |
4,487 | 4,329 | 4,385 | ||||||
Advances |
1,979 | 3,648 | 1,786 | ||||||
Other |
11,805 | 40,658 | 18,844 | ||||||
¥ | 145,261 | ¥ | 189,838 | ¥ | 140,218 | ||||
Certain information with respect to available-for-sale securities, all of which are marketable equity securities at September 30, 2002 and 2003 and March 31, 2003 is summarized below:
Yen (millions) | |||||||||
September 30, 2002 |
September 30, 2003 |
March 31, 2003 | |||||||
Cost |
¥ | 49,689 | ¥ | 32,631 | ¥ | 34,063 | |||
Fair value |
79,187 | 92,891 | 66,841 | ||||||
Gross unrealized gains |
33,398 | 60,739 | 34,207 | ||||||
Gross unrealized losses |
3,900 | 479 | 1,429 |
(5) | Short-Term and Long-Term Debt |
Short-term debt at September 30, 2002 and 2003 and March 31, 2003 is as follows:
Yen (millions) | |||||||||
September 30, 2002 |
September 30, 2003 |
March 31, 2003 | |||||||
Short-term bank loans |
¥ | 226,073 | ¥ | 247,168 | ¥ | 220,499 | |||
Medium-term notes |
336,202 | 116,371 | 325,737 | ||||||
Commercial paper |
375,544 | 439,993 | 331,718 | ||||||
¥ | 937,819 | ¥ | 803,532 | ¥ | 877,954 | ||||
(Continued)
10
HONDA MOTOR CO., LTD. AND SUBSIDIARIES
Notes to Consolidated Financial Statements
Long-term debt at September 30, 2002 and 2003 and March 31, 2003 is as follows:
Total long-term debt |
¥ | 1,096,064 | ¥ | 1,688,605 | ¥ | 1,444,524 | |||
Less current portion |
142,231 | 405,533 | 304,342 | ||||||
¥ | 953,833 | ¥ | 1,283,072 | ¥ | 1,140,182 | ||||
Property, plant and equipment with a net book value of approximately ¥13,306 million, ¥14,098 million and ¥12,240 million at September 30, 2002 and 2003 and March 31, 2003, respectively, were subject to specific mortgages securing indebtedness.
(6) | Other Liabilities |
Other liabilities at September 30, 2002 and 2003 and March 31, 2003 are summarized as follows:
Yen (millions) | |||||||||
September 30, 2002 |
September 30, 2003 |
March 31, 2003 | |||||||
Allowance for product warranty |
¥ | 106,990 | ¥ | 136,421 | ¥ | 130,307 | |||
Minority interest |
43,384 | 57,743 | 52,546 | ||||||
Additional minimum pension liabilities |
354,772 | 555,077 | 555,206 | ||||||
Deferred income taxes |
1,339 | 21,291 | 8,740 | ||||||
Other |
43,775 | 39,510 | 42,200 | ||||||
¥ | 550,260 | ¥ | 810,042 | ¥ | 788,999 | ||||
(7) | Supplemental Disclosures of Cash Flow Information |
Yen (millions) | |||||||||
The 6 months September 30, |
The 6 months September 30, |
The year March 31, | |||||||
Cash paid during the period for: |
|||||||||
Interest |
¥ | 52,305 | ¥ | 47,400 | ¥ | 100,368 | |||
Income taxes |
110,872 | 91,368 | 173,697 |
During the 6 months ended September 30, 2003, the Company reissued its treasury stocks at fair value of ¥603 million to the minority shareholder of a subsidiary, upon which the Company merged with the subsidiary.
(Continued)
11
HONDA MOTOR CO., LTD. AND SUBSIDIARIES
Notes to Consolidated Financial Statements
(8) | Comprehensive Income |
Comprehensive income consists of net income, change in adjustments from foreign currency translation, change in net unrealized gains on marketable equity securities, and change in minimum pension liabilities adjustment, and is included in the consolidated statements of stockholders equity.
Accumulated other comprehensive income (loss) at September 30, 2002 and 2003 and March 31, 2003 are as follows:
Yen (millions) |
||||||||||||
September 30, 2002 |
September 30, 2003 |
March 31, 2003 |
||||||||||
Adjustments from foreign currency translation |
¥ | (455,149 | ) | ¥ | (567,690 | ) | ¥ | (469,472 | ) | |||
Net unrealized gains on marketable equity securities |
12,611 | 31,544 | 14,820 | |||||||||
Minimum pension liabilities adjustment |
(187,824 | ) | (308,384 | ) | (308,513 | ) | ||||||
Total accumulated other comprehensive income (loss) |
¥ | (630,362 | ) | ¥ | (844,530 | ) | ¥ | (763,165 | ) | |||
(Continued)
12
HONDA MOTOR CO., LTD. AND SUBSIDIARIES
Notes to Consolidated Financial Statements
(9) | Fair Value of Financial Instruments |
The estimated fair values of significant financial instruments at September 30, 2002 and 2003 and March 31, 2003 are as follows:
Yen (millions) |
||||||||||||||||||||||||
September 30, 2002 |
September 30, 2003 |
March 31, 2003 |
||||||||||||||||||||||
Carrying amount |
Estimated fair value |
Carrying amount |
Estimated fair value |
Carrying amount |
Estimated fair value |
|||||||||||||||||||
Finance subsidiaries-receivables (a) |
¥ | 1,622,281 | ¥ | 1,640,412 | ¥ | 1,949,764 | ¥ | 1,975,023 | ¥ | 1,835,085 | ¥ | 1,868,749 | ||||||||||||
Investments and advances-marketable equity securities |
79,187 | 79,187 | 92,891 | 92,891 | 66,841 | 66,841 | ||||||||||||||||||
Debt |
(2,033,883 | ) | (2,037,827 | ) | (2,492,137 | ) | (2,496,375 | ) | (2,322,478 | ) | (2,329,535 | ) | ||||||||||||
Foreign exchange instruments (b): |
||||||||||||||||||||||||
Asset position |
¥ | 5,043 | ¥ | 5,043 | ¥ | 36,669 | ¥ | 36,669 | ¥ | 9,598 | ¥ | 9,598 | ||||||||||||
Liability position |
(17,253 | ) | (17,253 | ) | (4,534 | ) | (4,534 | ) | (13,523 | ) | (13,523 | ) | ||||||||||||
Net |
¥ | (12,210 | ) | ¥ | (12,210 | ) | ¥ | 32,135 | ¥ |