Message from President

President and Representative Director Masanori KatayamaIsuzu Motors announced on May 12, 2015 its financial results for the fiscal year ending in March 2015 and its new Mid-Term Business Plan (April 2015 through March 2018).

(FY2015 Financial Results)

The sales volume in Japan in the fiscal year ended in March 2015 remains high thanks to consistent demand. Outside Japan, a large volume of pickups exported from Thailand and booming truck sales in the Middle East and Africa as a result of Isuzu's ongoing effort to enhance overseas distribution business under the previous mid-term business plan cancelled out the slumping sales of trucks and pickups in Thailand. Consequently, Isuzu shipped from Japan yet another record volume of trucks, breaking the record for five years in a row, and it also exported the largest volume of pickups from Thailand.

As a result, net sales amounted to 1879.4 billion yen, an increase of 118.5 billion yen or 6.7% from the previous fiscal year. Isuzu posted operating profit of 171.1 billion yen, down 3.1 billion yen or 1.8%, year-on-year, ordinary income of 187.4 billion yen, up 800 million yen or 0.4% year-on-year, and net income of 117.1 billion yen, down 2.2 billion yen or 1.9% from the last fiscal year. The effect of the net sales increase, continued improvement in the cost structure as well as yen's depreciation nearly offset a significant increase in spending for Isuzu's future growth including investment in R&D.

(Forecast for Consolidated Business Results for FY2016)
We expect that demand in Japan will remain strong, and demand for trucks in Thailand, our main market, will gradually recover although a sign of the recovery is still not in sight. Since demand in other markets is expected to remain firm, though at varying degrees, Isuzu projects an increase in net sales in anticipation of a greater export volume of trucks and pickups from Japan and Thailand respectively.

On the cost front, we will aggressively spend and invest for the further growth, business expansion and a stronger organization.

In view of the above, Isuzu forecasts net sales of 1,950.0 billion yen, operating income of 175.0 billion yen, ordinary income of 188.0 billion yen, and net income of 110.0 billion yen for the year ending in March 2016.

(Development of Mid-Term Business Plan (April 2015 through Mar. 2018))

Under the previous mid-term business plan, Isuzu made a steady progress in setting up organizations, outlets and infrastructure, and as a result it posted significantly higher profits than the targets. We also started initiatives for "Isuzu involvement in Distribution Business" and "Enhancement of Aftersales Business" as set forth under the plan.

Now, under this new business plan, Isuzu will continually focus on "Isuzu Involvement in Distribution Business" and "Enhancement of Aftersales Business", and it aims for further growth by putting in place a two-wheel-model of "Engineering, Purchasing, and Manufacturing Operations" and "Operation to Minimize Downtime" (after-sales)", two of which are linked seamlessly, running harmoniously like wheels. And in doing so, Isuzu aims to become a player of global presence genuinely needed by customers.

Meanwhile, we set the targets of shipment volume for FY2018, the final year of the new business plan: 380,000 units for CV and 440,000 units for LCV.

We would greatly appreciate more of your understanding and support than ever for Isuzu Motors Limited.