Nissan Motor Co., Ltd. · TSE:7201

Nissan Motor — FY2017 Earnings Presentation

22 slides from Nissan Motor's earnings presentation, May 14, 2018

  1. Slide 1: FY17 Results, Business Updates, FY18 Outlook

    Nissan Motor Co., Ltd. May 14th, 2018 FY17 RESULTS BUSINESS UPDATES FY18 OUTLOOK www.nissan-global.com © Copyright NISSAN MOTOR CO., LTD. All rights reserved. 2

  2. Slide 2: Global and Japan Sales and Market Share

    GLOBAL TIV *1 RETAIL VOLUME M/S*2 6.2% vs. FY16 vs. FY16 M/S*2 6.1% 5,770 GLOBAL +2.6% 93.52 GLOBAL +1.9% 5,626 91.81 5.20 JAPAN +2.4% 584 JAPAN +4.8% 5.08 557 27.35 CHINA +1.8% 1,520 CHINA +12.2% 26.88 1,355 NORTH 21.10 20.85 -1.2% NORTH (17.31) AMERICA 2,091 -1.8% (17.49) (U.S.) (-1.0%) 2,130 AMER

  3. Slide 3: China and North America Sales

    CHINA (Jan. to Dec.) RETAIL VOLUME *1 FY17 Full year (Jan. to Dec.) *2 +12.2% TIV : 27.35 million units, +1.8% 1,520 (THOUSAND UNITS) 1,355 Sales*1 : 1,520 k units, +12.2% Market share: 5.6%, +0.6 points FY16 FY17 MARKET SHARE +0.6 points X-Trail Sylphy 5.0 5.6 FY18 1Q (Jan. to Mar.) TIV *2 : 6.79 m

  4. Slide 4: Europe and Other Markets

    EUROPE (INCLUDING RUSSIA) Europe excluding Russia RETAIL VOLUME  TIV: 18.31 million units, +1.5% -2.6%  Sales: 652 k units, -4.6% 776 756 (THOUSAND UNITS)  Market share: 3.6%, -0.2 points Russia  TIV: 1.67 million units, +16.9%  Sales: 105 k units, +12.0% FY16 FY17  Market share: 6.3%, -0.2 po

  5. Slide 5: Financial Results (TSE Report Basis)

    (TSE REPORT BASIS — CHINA JV EQUITY BASIS) (BILLION YEN) NET OPERATING NET FREE NET CASH REVENUE PROFIT INCOME * CASH FLOW (AUTO) (AUTO) 1,769.1 11,951.2 1,635.0 11,720.0 742.2 746.9 663.5 677.1 574.8 407.0 FY16 FY17 FY16 FY17 FY16 FY17 FY16 FY17 FY16 FY17 * NET INCOME ATTRIBUTABLE TO OWNERS OF THE

  6. Slide 6: Operating Profit Variance Analysis and Free Cash Flow

    (TSE REPORT BASIS — CHINA JV EQUITY BASIS) OPERATING PROFIT VARIANCE ANALYSIS (VS FY16) (BILLION YEN) +196.2 -100.6 -105.8 -42.5 -4.7 -40.9 -100.4 +63.5 -32.2 FY16 CK *1 FY16 FOREX COST *2 RAW VOLUME MARKETING R&D OTHER FY17 SPECIAL *3 FY17 SCOPE ITEMS MATERIAL /MIX & /MFG ITEMS ITEMS FULL YEAR CHAN

  7. Slide 7: Net Cash and Inventory Status

    (TSE REPORT BASIS — CHINA JV EQUITY BASIS ) (BILLION YEN) 1,769.1 1,502.9 1,635.0 1,600 1,200 800 400 0 FX: USD/JPY 112.7 112.2 106.2 END OF MONTH www.nissan-global.com © Copyright NISSAN MOTOR CO., LTD. All rights reserved. 13 (EXCLUDING CHINA JV) INVENTORY STATUS (THOUSAND (THOUSANDUNITS) UNITS) 1

  8. Slide 8: Financial Results (Management Pro Forma Basis)

    FINANCIAL RESULTS (MANAGEMENT PRO FORMA BASIS *1) (BILLION YEN) NET OPERATING NET FREE NET CASH REVENUE PROFIT INCOME *2 CASH FLOW (AUTO) (AUTO) 2,019.0 13,315.0 1,803.9 12,842.3 882.4 742.4 746.9 710.5 663.5 482.7 FY16 FY17 FY16 FY17 FY16 FY17 FY16 FY17 FY16 FY17 *1: BASED ON CONTINUATION OF PROPOR

  9. Slide 9: Mission and FY17 New Products

    Mission Achieve sustainable growth, while delivering healthy profitability 1 and strong free cash flow Lead the technology and business evolution of the automotive 2 industry, backed by our technology DNA www.nissan-global.com © Copyright NISSAN MOTOR CO., LTD. All rights reserved. 17 FY17 NEW PRODU

  10. Slide 10: Core Model Deployment and FY18 New Products

    FY17 CORE MODEL GEOGRAPHIC DEPLOYMENT Rogue Sport (US) KICKS (China) NAVARA (China) Qashqai (Canada) www.nissan-global.com © Copyright NISSAN MOTOR CO., LTD. All rights reserved. 19 FY18 NEW PRODUCTS & KEY FEATURES New Nissan LEAF New Altima Sylphy Zero Emission More Range & More Power Qashqai/Rogue

  11. Slide 11: Growth in China and Pick-ups

    Growth in China F Y 16 F Y 17 F Y 18 FY22 SALE S VOLU M E 1.36M 1.52M 1.69M ・・・ (units) +11% Kicked off… www.nissan-global.com © Copyright NISSAN MOTOR CO., LTD. All rights reserved. 21 Growth of Pick-ups and Frame-based SUVs F Y 16 F Y 17 Key Growth Drivers F Y 18 FY22 >790k +15% +8% >600k 529k Ter

  12. Slide 12: Electrification and Autonomous Drive Technology

    Electrific ation FY17 Highlights • New Nissan LEAF • 32k • Total EV sales of DFL 23k+ units in FY17, 300% vs FY16  New Nissan LEAF Fu r t h e r D e p l o y m e n t i n F Y 18 (More Range & More Power)  Sylphy Zero Emission www.nissan-global.com © Copyright NISSAN MOTOR CO., LTD. All rights reserve

  13. Slide 13: New Mobility Services and Alliance Synergies

    New Mobility Services FY17 Highlights • Successful Field Operation Test of EasyRide in Yokohama with partner DeNA • Expansion of car-sharing services in Japan • Partnership with DiDi through Renault-Nissan-Mitsubishi Fu r t h e r D e p l o y m e n t i n F Y 18  Extend partnership www.nissan-global.

  14. Slide 14: FY18 Outlook: Industry Volume and Retail Sales

    FY17 RESULTS BUSINESS UPDATES FY18 OUTLOOK www.nissan-global.com © Copyright NISSAN MOTOR CO., LTD. All rights reserved. 27 TIV *1 RETAIL VOLUME M/S*2 6.2% vs. FY17 vs. FY17 M/S*2 6.2% 5,925 GLOBAL +2.7% +2.0% 5,770 93.52 95.40 GLOBAL 615 5.10 JAPAN -1.9% 584 JAPAN +5.3% 5.20 29.09 CHINA +6.3% 1,520

  15. Slide 15: FY18 Financial Outlook and Operating Profit Variance

    (TSE REPORT BASIS — CHINA JV EQUITY BASIS) (BILLION YEN) FY17 FY18 VARIANCE CHANGE ACTUAL OUTLOOK vs. FY17 (%) RETAIL VOLUME (THOUSAND UNITS) 5,770 5,925 +155 +2.7% NET REVENUE 11,951.2 12,000.0 +48.8 +0.4% OPERATING PROFIT 574.8 540.0 -34.8 -6.0% OP MARGIN 4.8% 4.5% -0.3% NET INCOME * 746.9 500.0 -

  16. Slide 16: Dividend per Share

    +7.5% 57 53 48 42 2H 26.5 33 30 25 20 DIVIDEND PER SHARE (YEN) 1H 26.5 FY11 FY12 FY13 FY14 FY15 FY16 FY17 FY18 (Forecast) (Forecast) www.nissan-global.com © Copyright NISSAN MOTOR CO., LTD. All rights reserved. 31 Appendix

  17. Slide 17: Sales Financing Funding and Penetration

    (AS OF MARCH 2018) TOTAL FUNDING AMOUNT: 9,897 BILLION YEN Group Finance Equity (Inter-Company) 14.3% 12.2% Commercial Paper ABS Off B/S 4.1% 1.1% S/T Loan 4.4% ABS On B/S 23.3% L/T Loan 20.3% Bonds 20.3% www.nissan-global.com © Copyright NISSAN MOTOR CO., LTD. All rights reserved. 33 (%) NFS NMAC N

  18. Slide 18: Net Credit Loss Ratio and Operating Profit and Assets

    NET CREDIT LOSS RATIO FY16 FY17 VARIANCE YTD YTD Lease: 0.01% Lease: 0.02% Lease: +0.01% NFS Retail: 0.10% Retail: 0.09% Retail: -0.01% Lease: 0.46% Lease: 0.58% Lease: +0.12% NMAC Retail: 1.09% Retail: 1.46% Retail: +0.37% Lease: 0.14% Lease: 0.10% Lease: -0.04% NCF Retail: 0.31% Retail: 0.28% Reta

  19. Slide 19: Operating Profit Variance and 4Q Sales

    (TSE REPORT BASIS — CHINA JV EQUITY BASIS) OPERATING PROFIT VARIANCE ANALYSIS (BILLION YEN) FOREIGN EXCHANGE VOLUME SELLING IMPACT /MIX EXPENSES -4.7 -105.8 -40.9 USD +34.2 (108.3 ⇒ 110.9) JPN +21.7 VOL*: +29.2 JPN +7.1 INCENTIVES: +7.6 M IX: - 7. 5 OTHERS: -0.5 EUR* -23.3 US -87.3 VOL*:-104.5 US -6

  20. Slide 20: 4Q Financial Results and Variance Analysis

    (TSE REPORT BASIS — CHINA JV EQUITY BASIS) (BILLION YEN) FY16 FY17 VARIANCE CHANGE 4Q 4Q vs. FY16 (%) NET REVENUE 3,455.3 3,423.2 -32.1 -0.9% OPERATING PROFIT 239.0 210.5 -28.5 -11.9% OP MARGIN 6.9% 6.1% NON-OPERATING 35.6 43.1 ORDINARY PROFIT 274.6 253.6 -21.0 -7.6% EXTRAORDINARY 99.1 -31.3 PROFIT

  21. Slide 21: 4Q Operating Profit Variance and Free Cash Flow

    (TSE REPORT BASIS — CHINA JV EQUITY BASIS) OPERATING PROFIT VARIANCE ANALYSIS (BILLION YEN) FOREIGN EXCHANGE VOLUME SELLING IMPACT /MIX EXPENSES -37.0 -48.1 +40.0 USD -14.9 (113.6 ⇒ 108.2) JPN -10.3 VOL*: -10.7 JPN+15.4 INCENTIVES:+10.4 MIX: +0.4 OTHERS: +5.0 EUR* -6.2 US -29.7 VOL*: -25.2 US +16.4

  22. Slide 22: Net Cash by Automobile and Sales Financing

    (TSE REPORT BASIS — CHINA JV EQUITY BASIS) AS OF MARCH 31, 2017 AS OF MARCH 31, 2018 (BILLION YEN) AUTOMOBILE AUTOMOBILE SALES SALES & TOTAL & TOTAL FINANCING FINANCING ELIMINATIONS ELIMINATIONS BORROWINGS FROM 861.9 6,905.8 7,767.7 571.5 7,166.9 7,738.4 THIRD PARTIES INTERNAL LOAN TO SALES -1,306.9

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