Nissan Revival Plan Two Years After Announcement and ...€¦ · Nissan Revival Plan Two Years After Announcement and Fiscal Year 2001 Half-Year Financial Preview. Carlos Ghosn President

Nissan Revival PlanNissan Revival PlanTwo Years After Announcement and Two Years After Announcement and Fiscal Year 2001 HalfFiscal Year 2001 Half--Year Financial Year Financial

PreviewPreview

Carlos Carlos GhosnGhosn

President & CEOPresident & CEO

Nissan Motor Co., Ltd.Nissan Motor Co., Ltd.

AgendaAgenda

• Introduction

• First half fiscal year 2001 performance

• First half fiscal year 2001 financial estimate

• Fiscal year 2001 Outlook

• Conclusion

First Half Fiscal Year 2001 First Half Fiscal Year 2001

Global sales volume (retail)Global sales volume (retail)

First Half FY2001 :　　　　　　　　1,286,000First Half FY2001 First Half FY2001 ::　　　　　　　　　　　　　　　　1,281,2866,000,000

First Half FY2000 :　　　　　　　　1,337,000First Half FY2000 :First Half FY2000 :　　　　　　　　　　　　　　　　1,337,0001,337,000

Down 3.8%Down 3.Down 3.88%%

First Half Fiscal Year 2001First Half Fiscal Year 2001Nissan retail sales (First Half FY00 Nissan retail sales (First Half FY00 --vv-- FY01)FY01)

Japan TIV up 0.9%Nissan up 2.1%Market share 17.6%335 342

0

100

200

300

400

500

(thousand units)

J apan U .S . E urope G O M

2000 2001

Fiscal year 2001Fiscal year 2001Bluebird/Sylphy Cima

X-Trail Primera

AvenirElgrand

CefiroAtlas

SkylineCube

Fiscal year 2000Fiscal year 2000

min

or

all

new

Wingroad

Presage/Bassara

Liberty

Caravan

SkylineStagea

March

(Mar 02)

Fiscal Year 2001Fiscal Year 2001Japan product launchesJapan product launches

Fiscal Year 2001Fiscal Year 2001

Japan TIV: 4.0 million 　　　　down 2.6%Volume: 729,000 　　　　down 0.5%Market Share: 18.2% 　　　　up　　　　0.4

JapanJapan TIVTIV:: 4.0 4.0 millionmillion 　　　　　　　　down 2.6%down 2.6%VolumeVolume:: 729,000729,000 　　　　　　　　down 0.5%down 0.5%Market ShareMarket Share:: 18.2%18.2% 　　　　　　　　upup　　　　　　　　0.40.4

Full year forecast as of October 18, 2001Full year forecast as of October 18, 2001Full year forecast as of October 18, 2001

Fiscal year 1999Fiscal year 19994 of 434 of 43

12% of total volume12% of total volume





First Half Fiscal Year 2001First Half Fiscal Year 2001Number of profitable models in JapanNumber of profitable models in Japan

First Half Fiscal Year 2001First Half Fiscal Year 2001Nissan retail sales (First Half FY00 Nissan retail sales (First Half FY00 --vv-- FY01)FY01)

U.S. TIV down 5.7%Nissan U.S. down 14.0%Market share 4.0%

*N.A. down 12.7% with Canada up 7.4%

335 342

406

349

0

100

200

300

400

500

(thousand units)


2000 2001

Frontier


min

or

all

new


Q45Q45 AltimaAltima

XterraFrontier CC Long bedFrontier CC Long bedMaxima 3.5

Sentra SERInfiniti I35Infiniti I35

Fiscal Year 2001Fiscal Year 2001US product launchesUS product launches

First Half Fiscal Year 2001First Half Fiscal Year 2001

$500

$1,000

$1,500

$2,000

$2,500

$3,000

19961996 19971997 19981998 19991999 20002000 20012001

GMGM

FordFordChryslerChrysler

ToyotaToyota

HondaHonda

NissanNissan

(Source: CNW market research)

U.S. incentive levelsU.S. incentive levels　　　　　　　　(through September (through September

(Source: company disclosure)

0 5 10 15 20 25 30 (%)

28.6%27.3%

24.1%21.6%

NISSAN

CHRYSLER

FORD

TOYOTA

GM

MAZDA

9.9%12.5%

Honda?

Flee

t as

a pe

rcen

tage

of s

ales

First Half Fiscal Year 2001First Half Fiscal Year 2001U.S. fleet sales (as of 2Q) U.S. fleet sales (as of 2Q)

First Half Fiscal Year 2001First Half Fiscal Year 2001　　　　　　　　U.S. segment reviewU.S. segment review


U.S. TIV: 15.7million　　　　 down 8.6%Volume: 680,000 down 8.6%Market Share: 4.3% no change

U.S. TIVU.S. TIV:: 15.15.77millionmillion　　　　　　　　 down 8.down 8.66%%VolumeVolume:: 680,000 680,000 down 8.6%down 8.6%Market ShareMarket Share:: 4.3%4.3% no changeno change


Japan TIV: 4.0 million 　　　　down 2.6%Volume: 729,000 　　　　down 0.5%Market Share: 18.2% up 0.4

JapanJapan TIVTIV:: 4.0 4.0 millionmillion 　　　　　　　　down 2.6%down 2.6%VolumeVolume:: 729,000729,000 　　　　　　　　down 0.5%down 0.5%Market ShareMarket Share:: 18.2%18.2% up 0.4up 0.4


Europe TIV down 1.7%Nissan down 5.5%Market share 2.8%

*Europe first half FY is Jan-June

Nissan retail sales (First Half FY00 Nissan retail sales (First Half FY00 --vv-- FY01)FY01)

335 342

406

349

289 273

0

100

200

300

400

500

(thousand units)


2000 2001

Fiscal year 2001Fiscal year 2001Fiscal year 2000Fiscal year 2000

min

or

all

new

AlmeraAlmera Tino

X-Trail

Navarapickup

Fiscal Year 2001 Fiscal Year 2001 Europe product launchesEurope product launches

*Europe FY is Jan-Dec


Europe TIV: 16.4 million down 1.9%Volume: 490,000 down 8.1%Market Share: 2.8% down 0.2

Europe TIVEurope TIV:: 16.4 16.4 million million down 1.9%down 1.9%VolumeVolume:: 490,000490,000 down 8.1%down 8.1%Market ShareMarket Share:: 2.8%2.8% down 0.2down 0.2

U.S. TIV: 15.7 million down 8.6%Volume: 680,000 down 8.6%Market Share: 4.3% no change

U.S. TIVU.S. TIV:: 15.7 15.7 million million downdown 8.6%8.6%VolumeVolume:: 680,000 680,000 down 8.6%down 8.6%Market ShareMarket Share:: 4.3%4.3% no changeno change


Japan TIV: 4.0 million down 2.6%Volume: 729,000 down 0.5%Market Share: 18.2% up 0.4

JapanJapan TIVTIV:: 4.0 4.0 millionmillion down 2.6%down 2.6%VolumeVolume:: 729,000729,000 down 0.5%down 0.5%Market ShareMarket Share:: 18.2%18.2% up 0.4up 0.4

335 342

406

349

289 273 280 293

0

100

200

300

400

500

(thousand units)


2000 2001


General overseas marketsGeneral overseas marketsNissan up 4.6%Nissan up 4.6%

•• Mexico up 14.1% Mexico up 14.1%

Nissan retail sales (First Half FY00 Nissan retail sales (First Half FY00 --vv-- FY01)FY01)

Fiscal year 2001Fiscal year 2001Fiscal year 2000Fiscal year 2000

PatrolAustralia

GCC

X-TrailMexico

AustraliaSouth AfricaSingapore

CaravanMexicoGCC

ThailandHong Kong

Bluebird Sylphy/HSSouth AfricaPhilippines

Datsun/PickupAustraliaThailand

GCC

Bluebird Sylphy/HSMexico

AustraliaGCC

TaiwanThailandMalaysia

Fiscal Year 2001Fiscal Year 2001GOM product launchesGOM product launches

first half FY 2001

U.S.(plus Canada)

29%

Europe21%

GOM23%

Japan27%

first half FY 2000

GOM21%

Japan25%

U.S.(plus Canada)

32%

Europe22%

First Half Fiscal Year 2000First Half Fiscal Year 2000--11Regional distribution comparison Nissan retail salesRegional distribution comparison Nissan retail sales


GOM volume: 617,000 up 7.7%GOM volumeGOM volume:: 617,000617,000 up 7.7%up 7.7%

Total volume*: 2,571,000 down 2.3%Total volume*Total volume*:: 2,571,0002,571,000 down 2.3%down 2.3%

*Global number includes Canada forecast of 55K units

Europe TIV: 16.4 million down 1.9%Volume: 490,000 down 8.1%Market Share: 2.8% down 0.2

Europe TIVEurope TIV:: 16.4 16.4 million million down 1.9%down 1.9%VolumeVolume:: 490,000490,000 down 8.1%down 8.1%Market ShareMarket Share:: 2.8%2.8% down 0.2down 0.2

U.S. TIV: 15.7 million down 8.6%Volume: 680,000 down 8.6%Market Share: 4.3% no change

U.S. TIVU.S. TIV:: 15.7 15.7 million million down 8.6%down 8.6%VolumeVolume:: 680,000 680,000 down 8.6%down 8.6%Market ShareMarket Share:: 4.3%4.3% no changeno change


Japan TIV: 4.0 million down 2.6%Volume: 729,000 down 0.5%Market Share: 18.2% up 0.4

JapanJapan TIVTIV:: 4.0 4.0 millionmillion down 2.6%down 2.6%VolumeVolume:: 729,000729,000 down 0.5%down 0.5%Market ShareMarket Share:: 18.2%18.2% up 0.4up 0.4

- 8%

-14.5%- 6.5%

80

85

90

95

100

FY00 FY01 FY02

(pur

chas

ing

cost

redu

ctio

ns b

asel

ine

as o

f FY

1999

)

CommitmentActual

-20% NRP Target

-11%

-18%FY01

First Half Fiscal Year 2001First Half Fiscal Year 2001PurchasingPurchasing cost reductionscost reductions

23

OppamaOppama

MurayamaMurayama

TochigiTochigi

KyushuKyushu

ShonanShonan

KyotoKyoto

AichiAichi

0

1

2

3

4

5

6

7

March/Cube

Sunny/Alm

era

Presea

Bluebird

Primera

/G20

Crew

Cefiro/I30

/Maxim

a

Skylin

e/Lau

rel

Cedric

Gloria

wCed

ric G

loria

Cedric

sedan

Cima/

Q45Pres

ident

Silvia

Fairlad

yW

ingroad

Avenir Prai

rieSta

gea

R'nessa/

Presag

eSe

rena

Terran

o/Caravan

/Elgrand

Safar

iCivilia

nDats

unJapan manufacturing system: Japan manufacturing system: 19991999

7 7 plantsplants 24 24 platformsplatforms

24

Japan manufacturing system: Japan manufacturing system: 20012001

0

1

2

3

4

5

6

7

B SM

Crew

Cefiro/

I30/M

axim

a

Skylin

e GTR

Cedric

seda

n

Cedric

Glor

iaFR-L

Avenir

Prairie

Presag

eSere

naTerr

ano/E

lgran

dCara

van

Safari

Datsun

OppamaOppama

TochigiTochigi

KyushuKyushu

ShonanShonan

4 4 plantsplants 15 15 platformsplatforms

25

Japan manufacturing systemJapan manufacturing systemCapacity UtilizationCapacity Utilization

4 4 plantsplants15 15 platformsplatforms

* plus Kyoto producing only Civilian * plus Kyoto producing only Civilian ---- low volume low volume

0

1

2

3

4

5

6

7

OppamaOppama

TochigiTochigi

KyushuKyushu

ShonanShonan 52%52%52%

64%64%64%

28%28%28%

45%45%45%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

First half fiscal year 2001First half fiscal year 2001First half fiscal year 2001

78%78%78%

75%75%75%

74%74%74%

75%75%75%

Average75.7%

Pre NRPPre NRPPre NRP

Average51%

26

Japan manufacturing system: Japan manufacturing system: 20042004

0

1

2

3

4

5

6

7B

FF-L

FR-L SM

Cedr

ic Se

dan

Aven

ir/Pr

arie

Terra

no/E

lgran

d

Seda

nDa

tsun

4 4 plants plants 12 12 platformsplatforms

OppamaOppama

TochigiTochigi

KyushuKyushu

ShonanShonan

Cara

vanC


• Improved R&D efficiencyR&D cost per vehicle declined more than 25%

• Domestic network restructuring335 outlets closed12 dealers transferred to private sector

28(including temp & part time at start of FY99)

148.0

133.8139.2

128.1127.0

110

120

130

140

150

Apr 99 Sep 00 Apr 01 Sep 01 Apr 03

(thou

sand

em

ploy

ees)

NRP NRP projected projected

levellevel

First Half Fiscal Year 2001First Half Fiscal Year 2001Consolidated net head count statusConsolidated net head count status

Real estate 22Real estateReal estate 2222Marketable securities 59Marketable securitiesMarketable securities 5959

Asset sale proceeds 　　　　　　　　billion yenAsset sale proceeds Asset sale proceeds 　　　　　　　　　　　　　　　　billion yenbillion yen

Total 81TotalTotal 8181

Cumulative asset sales 422Apr. 01, 2000 - Sep. 30, 2001 - - 85% of planCumulative asset salesCumulative asset sales 422422Apr. 01, 2000 Apr. 01, 2000 -- Sep. 30, 2001 Sep. 30, 2001 -- -- 85% of plan85% of plan

First Half Fiscal Year 2001First Half Fiscal Year 2001Reallocating resourcesReallocating resources

FY00FY00 FY02FY02

Skyline Skyline

StageaStagea

AltimaAltima

MarchMarch

CaravanCaravan

FY01FY01

Bluebird Bluebird

SylphySylphy

XX--TRAILTRAIL

CimaCima

PrimeraPrimera

Fiscal Year 2001Fiscal Year 20015 5 New products globallyNew products globally

Fiscal Year 2002Fiscal Year 2002Japan product launchesJapan product launches

Fiscal year 2002Fiscal year 2002Minicar

Luxury sedan

sedansedan

Luxury RV

RVwagon

Z-car Luxury coupe

wagonRV

Cube

sedan

min

or

all

new

March(02/03)

MarchMarch(02/03)(02/03)

Fiscal Year 2002Fiscal Year 2002U.S. product launchesU.S. product launches

Fiscal year 2002Fiscal year 2002Z-car

New CarNew carG35 SUV

Maxima

Infin

iti

Nis

san

SUV

Altima(01/08)

AltimaAltima(01/08)(01/08)

Fiscal year 2002Fiscal year 2002Primera• sedan• hatchback• wagon

Terrano IINavara

New LCV

New LCV

min

or

all

new

Almera

Micra(03/Q1)MicraMicra(03/Q1)(03/Q1)

Fiscal Year 2002Fiscal Year 2002Europe product launchesEurope product launches

Fiscal Year 2002Fiscal Year 2002General overseas market product launchesGeneral overseas market product launches

Gulf CountriesQ45 Mexico

New SUVPerformance Sedan

ASEANC-sedan

MercosurFrontier

South AfricaFrontier facelift

AustraliaZ-car


New small car (from Renault)

Fiscal year 2002Fiscal year 2002JapanJapan

MinicarMinicarLuxury RVLuxury RV

ZZ--CarCarCubeCube

Luxury coupeLuxury coupeLuxury sedanLuxury sedan

U.S.U.S.ZZ--carcar

2 new 2 new SUVSUV’’ssMaximaMaxima

G35G352 luxury cars2 luxury cars

EuropeEuropePrimeraPrimera

LCVLCVLCVLCV

Fiscal Year 2002Fiscal Year 200222 New products launch events22 New products launch events

GOMGOMXX--TrailTrail Small Car ZSmall Car Z--CarCar CC--sedansedan Q45Q45 sedansedan

• United States• Thailand – decision not to take control• Indonesia• China opportunity

First Half Fiscal Year 2001First Half Fiscal Year 2001InvestmentsInvestments

Canton Plant as of October 2001Canton Plant as of October 2001

AgendaAgenda

• Introduction



-18.9

134.4

187

88

58.5

20.436.4

-12.9

-61.1

18.6

58.1

-100

-50

0

50

100

150

200

91 92 93 94 95 96 97 98 99 '00 '01

(bill

ion

yen)

estim

ated

Figures before FY94 are adjusted by current rate method

First Half Fiscal Year 2001First Half Fiscal Year 2001Estimated consolidated net sales: 3 trillion yenEstimated consolidated net sales: 3 trillion yen

Half year consolidated operating profit FY 91Half year consolidated operating profit FY 91--0101

4.50%

1.90%

0.60%

1.10%1.80%

-0.50%

-2.20%-0.70%

0.60%

2.70%

6.2%

-3%

-1%

0%

1%

3%

4%

5%

7%

91 92 93 94 95 96 97 98 99 '00 '01

5.5% FY01 forecast

4.5% FY02 NRP commitment

First Half Fiscal Year 2001First Half Fiscal Year 2001Half year consolidated operating margin FY 91Half year consolidated operating margin FY 91--0101

Figures before FY94 are adjusted by current rate method

Japan 129

59

-30

-10

10

30

50

70

90

110

130

FY00 FY01

billi

on y

en

up 120%

U.S.

4781

-30

-10

10

30

50

70

90

110

130

FY00 FY01

billi

on y

en

down 42%

First Half Fiscal Year 2001First Half Fiscal Year 2001Half year operating profit by geographic segmentHalf year operating profit by geographic segment

Europe

-5-15

-30

-10

10

30

50

FY00 FY01

billi

on y

en

G.O.M. 3116

-30

-10

10

30

50

FY00 FY01

billi

on y

en

up 94%


Japan 129

59

-30

-10

10

30

50

70

90

110

130

FY00 FY01

billi

on y

en

U.S.

4781

-30

-10

10

30

50

70

90

110

130

FY00 FY01

billi

on y

en

Europe

-5-15-30

-10

10

30

50

70

90

110

130

FY00 FY01

billi

on y

en

G.O.M.

3116

-30

-10

10

30

50

70

90

110

130

FY00 FY01

billi

on y

en

EliminationsFY01

-15 bil yn-15.0-7.0

-30.0

-10.0

10.0

30.0

50.0

70.0

90.0

110.0

FY00 FY01

billi

onye

n


First Half Fiscal Year 2001First Half Fiscal Year 2001First half estimated figuresFirst half estimated figures

(billion yen) 09/00 09/01 Change

Net sales (revenue) 3,018.3 3,000 =

O perating profit 134.4 187 +39.1%

O perating margin 4.5% 6.2% --

Net income 172.0 230 +33.7%

Net return on sales 5.7% 7.7% --

First Half Fiscal Year 2001First Half Fiscal Year 2001Consolidated net automotive debt 1991Consolidated net automotive debt 1991--20012001

2,2572,100

1,349

953804 850

700

2,152

2,398

2,7372,8662,855

2,604

0

500

1,000

1,500

2,000

2,500

91 92 93 94 95 96 97 98 99 00 HY01 01 02

(bill

ion

yen)

FY 02Commitment

Initial Target

AgendaAgenda

• Introduction




Risks & OpportunitiesRisks & Opportunities

Risks• Simultaneous global

slowdown

• Heightened competitionIncentives

RisksRisks•• Simultaneous global Simultaneous global

slowdown slowdown

•• Heightened competitionHeightened competitionIncentivesIncentives

Opportunities

• NRPEfficienciesProducts

• Foreign exchange rates

OpportunitiesOpportunities

•• NRPNRPEfficienciesEfficienciesProductsProducts

•• Foreign exchange ratesForeign exchange rates

Forecast for FY 2001Forecast for FY 2001

FY 01 Forecast：：：： (billion yen））））

Net salesOperating profitOperating profit

Estimated net incomeEstimated net income

Net automotive debtNet automotive debt

6,3006,300350350330330

< 750< 750

AgendaAgenda

• Introduction




• Conclusion

Documents

Nissan Revival Plan Two Years After Announcement and ...€¦ · Nissan Revival Plan Two Years After Announcement and Fiscal Year 2001 Half-Year Financial Preview. Carlos Ghosn President