On February 5, 2010, Isuzu Motors Limited announced its FY2010 third quarter business results and the FY2010 full-term business forecast.--Third quarter business results
For the third quarter, inventory adjustment tackled up to the second quarter was completed, making it possible to normalize shipments. In the third quarter only, the net sales were 285.1 billion yen, (a decrease of 55.3 billion yen from the prior year), and the operating income was 14.3 billion (an increase of 15.9 billion yen from the prior year), getting back in the black for the first time in the five quarters.
Sales-wise, in the domestic market, sales still remained stagnant although the government subsidies for the fuel-efficient and environment-friendly vehicles had some good effect. The overseas sales as a whole were short of the business performance in the prior year, and the net sales declined from the prior year. On the other hand, some overseas markets focusing on Asia and China were on a recovery trend. Especially, the LCV sales were good enough to show an increase from the prior year in the main market Thailand. The LCV demand was back on a track of recovery.
Expenditure-wise, thanks to efforts to improve cost effectiveness and reduce costs thoroughly, the low-cost operation has been regularized, and thus, each income successfully got back in the black for the third quarter. I believe that we have been able to create an organization in which we are able to secure incomes to some extent even under a severer business environment.
--FY2010 full-term business forecast
With sales recovery, both the CV and the LCV, continuously expected for the fourth quarter, the FY2010 full-term business forecast has been revised upward from the previous forecast, as follows: the net sales of 1060.0 billion yen (a decrease of 364.7 billion yen from the prior year); the operating loss of 5.0 billion yen (a decrease of 26.7 billion yen from the prior year) ; the ordinary loss of 7.0 billion yen (a decrease of 22.2 billion yen from the prior year); and the net loss of 5.0 billion yen (an increase of 21.9 billion yen from the prior year).
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