Consolidated net sales of the third quarter (April 2011 to December 2011) decreased for the first time in two corresponding periods by ¥129.7 billion (6.7%) to ¥1,798.0 billion year-on-year due to the impact of the Great East Japan Earthquake and the yen appreciation as well as the decrease of automobile sales in India.
Operating income decreased by ¥4.8 billion (5.1%) to ¥87.7 billion year-on-year. Although there were factors of income decrease such as decreased sales and impact of the exchange rate, the Group was able to limit the fall in operating income at this level as a result of taking various measures such as cost reduction and decrease of expenses.
Net income decreased by ¥2.0 billion (4.7%) to ¥40.6 billion year-on-year. Although there were factors of income decrease such as a provision for disaster in the amount of ¥17.5 billion in addition to decreased ordinary income, the Group was able to limit the fall in net income at this level, owing to factors of income increase such as gain on sale of investment securities by ¥9.2 billion from sales of the stock of the company related to General Motors, decrease of minority interests in income by ¥7.0 billion, and other factors of income increase.
In the motorcycle business, although sales in Europe decreased, due to the increase of wholesales in North America, sales increased by ¥2.5 billion (1.3%) to ¥188.8 billion year-on-year. Operating income improved by ¥4.2 billion year-on-year, but due to the impact of the yen appreciation and the floods in Thailand, there was operating loss of ¥2.8 billion.
In the automobile business, the Japanese domestic market sales decreased year-on-year. The Group had great sales of the Solio and had been attempting to expand its sales by strengthening the lineup with the launching of new models such as the Wagon R with Engine Auto Stop Start System and the Alto Eco, but was unable to recover from the decrease due to the impact of the Great East Japan Earthquake. As for the overseas, sales in areas such as Asia, Europe, and North America decreased year-on-year due to the impact of the yen appreciation and sales decrease at Maruti Suzuki Ltd. in India.
Sales of the marine and power products, etc. business increased by ¥1.5 billion (4.6%) to ¥35.0 billion year-on-year, but the operating income decreased by ¥0.4 billion (8.1%) to ¥4.7 billion year-on-year.
As for the operating results by geographical areas, North America returned to profitability from its operating loss of ¥2.5 billion in the same period of the previous fiscal year to operating income of ¥0.3 billion in this period.
Source: http://www.globalsuzuki.com/globalnews/2012/0206.html
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