Motorcycles had almost the same fate as cars in 2008 which, under the strong pressure of the economic recession, recorded very poor sales no matter what market we are talking about. And things can get even worse, Yamaha warned in a statement for the press, with motomakers expected to announce massive cost-cutting schedules to cope with the recession.
Yamaha today unveiled the business results for the fiscal year ended December 31, 2008, saying that its net sales decreased 8.7 percent from the previous year to 1,603.9 billion yen. The operating income recorded a drop of 61.9 percent to 48.4 billion yen while the ordinary income dropped 58 percent to 58.9 billion yen. The net income brought the largest decrease of 97.4 percent to 1.9 billion, Yamaha wrote.
Motorcycle sales fell 2.6 percent to 1,028.8 billion yen while other products business dropped 46.7 percent versus 2008. In essence, sales were down in Europe and the United States, with the biggest drop reported in the fourth quarter of 2008.
Unfortunately, Yamaha forecasts an even gloomier year, with sales expected to remain at least as low as the ones in 2008. “The Company’s business conditions for the fiscal year ending December 31, 2009 (fiscal 2009) are expected to remain extremely harsh, reflecting significant further declines in demand amid the worldwide recession, coupled with the continuing strength of the yen against major currencies,” Yamaha said.
Obviously, this can only result cost-cutting programs and the motorcycle manufacturer says that such a decision should be applied very soon. “In this environment, the Company will focus on countermeasures including urgent expense reduction and urgent cost reduction projects, significant reduction of capital expenditures, and medium-term structural reforms.”
Yamaha today unveiled the business results for the fiscal year ended December 31, 2008, saying that its net sales decreased 8.7 percent from the previous year to 1,603.9 billion yen. The operating income recorded a drop of 61.9 percent to 48.4 billion yen while the ordinary income dropped 58 percent to 58.9 billion yen. The net income brought the largest decrease of 97.4 percent to 1.9 billion, Yamaha wrote.
Motorcycle sales fell 2.6 percent to 1,028.8 billion yen while other products business dropped 46.7 percent versus 2008. In essence, sales were down in Europe and the United States, with the biggest drop reported in the fourth quarter of 2008.
Unfortunately, Yamaha forecasts an even gloomier year, with sales expected to remain at least as low as the ones in 2008. “The Company’s business conditions for the fiscal year ending December 31, 2009 (fiscal 2009) are expected to remain extremely harsh, reflecting significant further declines in demand amid the worldwide recession, coupled with the continuing strength of the yen against major currencies,” Yamaha said.
Obviously, this can only result cost-cutting programs and the motorcycle manufacturer says that such a decision should be applied very soon. “In this environment, the Company will focus on countermeasures including urgent expense reduction and urgent cost reduction projects, significant reduction of capital expenditures, and medium-term structural reforms.”