Yanmar Holdings Co., Ltd. has announced its financial results for the period ending March 31st, 2021.
Consolidated results for the 2020 fiscal year saw a 1.7% fall in revenue to 782.3 billion JPY with ordinary income doubling on the previous year to 31.7 billion JPY.
By implementing strict measures against the coronavirus pandemic at manufacturing sites, Yanmar said it was able to ensure continuation of business operations. New work practices such as working from home, resulted in increased productivity which, together with cost savings through structural reforms, achieved a substantial increase in profits. In particular, continuing structural reforms at the agricultural business underpinned strong performance in the domestic Japan, China and North American markets for increased revenue and profitability, contributing to overall Group business performance.
Furthermore, signs of a global recovery in the construction equipment business, evident from the second half of the fiscal year, bolstered business performance. However, considerable regional variations in the state of recovery from the coronavirus pandemic hampered the engine and related machinery business with both revenue and profit lagging, making FY2020 a year of continuing structural reforms towards establishing a firm foundation for future business growth.
Throughout the Yanmar Group, activities towards structural reform for improved profitability will continue. At the same time, transfer of authority to local companies will speed business activities, while the establishment of divisions for implementation of digital strategies will serve to strengthen Group cohesion. In addition, Yanmar said it will strengthen activities towards a carbon-free future by accelerating development of the company’s hydrogen fuel cell system for marine applications.
On the basis of these activities, Yanmar expects operating income of 24 billion JPY (up 11.1% on FY2020) and ordinary income of 27 billion JPY (down 14.9%) on revenue of 810 billion JPY (up 3.5%), with income attributable to new company holdings contributing 16.5 billion JPY (down 9.9%).
Find the full FY2020 results here.