Japanese automakers: Future direction and plans based on recently announced financial results
OEMs aim to improve profitability for U.S. operations, expand business in China further
2018/06/19
- Summary
- Fiscal year 2017 financial results and forecasts for fiscal year 2018
- U.S. market profitability declines, aiming for further expansion in China
- Fiscal year 2018 and the future direction of passenger car automakers
- Production Forecast by LMC Automotive: Japanese light vehicle production in 2021 will be 8.8 million units
- Summary of 2017 financial results and forecasts for 2018
Summary
 |
| Nine OEM's Cosolidated Sales |
This report is based on the fiscal year 2017 financial results announced by the 9 publicly listed automakers in Japan. It addresses the fiscal year 2018 financial forecasts of these OEMs, as well as their future direction and plans.
Regarding the fiscal year 2017 financial results, highlights are provided at the beginning of this report, while the latter half addresses the data actuals for FY 2017 such as sales revenue, profit, sales volumes, and exchange rates, as well as the forecasts for fiscal year 2018.
In addition, this report includes LMC Automotive forecasts of production volumes by brand in Japan until 2021.
Among the favorable financial results for fiscal year 2017, there were a number of cautious views regarding the future financial outlook for Japanese OEMs. Each automaker is concerned with any unfavorable impact from the appreciation of the yen, and automakers are seeking to realize efficiencies throughout their organizations to secure the massive amounts of funding required to successfully compete in the new technological fields collectively referred to as CASE (Connected, Autonomous, Shared, and Electric). Toyota announced that it will further strengthen its earnings power leveraging its Toyota Production System (TPS) and its cost reduction capabilities. Honda will enhance its six-region global operation structure and lower its global production capacity from 5.55 million units as of March 2016 to 5.27 million units in 2022 to improve production efficiency.
Related report:
Japanese OEMs' financial outlook: Expectation of declining profits (June 2017)
Free membership registration allows you to read the rest of the article for a limited time.