Message from President

President and Representative Director Masanori KatayamaIsuzu Motors announced on November 6, 2015 its second quarter results on a cumulative basis and revised its financial forecast for the fiscal year ending in March 2016.

[Cumulative second quarter results]
The total demand in the Japanese market has remained solid, but Isuzu's consolidated unit sales in Japan slightly decreased compared with the same period last year. On the other hand, its overseas sales increased thanks to the firm demand in most of the markets except Indonesia facing an economic downturn. The exports from Thailand is so robust that the combined sales of trucks and pickups outside of Japan increased, which off-set the sluggish demand for pickups in Thailand lasting from last year.

Consequently, net sales amounted to 971.0 billion yen, up 10.1% or 88.9 billion yen from the same period last year. As for the operating performance, operating income rose to 86.2 billion yen, up 11.9% or 9.2 billion yen, ordinary income, to 98.6 billion yen, up 16.5% or 13.9 billion yen, and net income attributable to the parent company's shareholders, to 53.1 billion-yen, up 7.0% or 3.5 billion yen.

[Forecast for the fiscal year ending in March 2016]
Reviewing our sales forecast and the exchange rate for each market, we have revised our full year outlook upward. With regard to the advanced countries such as the U. S., Australia and Japan, we expect that we will be achieving a larger sales volume than our original forecast thanks to the firm demand continuing in each of such countries. As for the emerging markets, on the contrary, we are expecting that tough conditions will last for some more time, judging from the weak demand in Thailand and Indonesia, the crude oil price which has declined sharply, the depreciated local currencies and regional conflicts in the oil producing and/or resource supplying countries. Considering these all together, we are still anticipating we will achieve the net sales larger than our original plan at the end of this fiscal year. With regard to profits and losses, we are aiming at recording a growth in every profit item. We will accelerate our profitability improving activities including cost reduction efforts to cover our upfront investments in R & D to be spent for future growth of the company.

Consequently, our forecast for the full-year results has become as follows:
Net sales:1,960.0 billion yen,Operating income:183.0 billion yen, Ordinary income: 198.0 billion yen, Net income (attributable to the parent company's shareholders):120.0 billion yen

In line with the new mid-term business plan announced in March this year. our challenges are going on to strengthen our "manufacturing business" covering the ASEAN countries, India, China and Japan, and our "customer uptime supporting business" focusing on after-sales service. It seems a new problem comes out every day, but we are confident that we will overcome such problems one by one for Isuzu's further growth. We will keep challenging, sensing the urgency of the situation, to achieve our targets.

Your kind understanding and patronage will be greatly appreciated.