Table of Contents
No. 1-7628
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 6-K
REPORT OF FOREIGN PRIVATE ISSUER
PURSUANT TO
RULE 13a-16 OR 15d-16
UNDER
THE SECURITIES
EXCHANGE ACT OF 1934
FOR THE MONTH OF November 2002
COMMISSION FILE NUMBER: 1-07628
HONDA GIKEN KOGYO KABUSHIKI KAISHA
(Name of registrant)
HONDA MOTOR CO.,
LTD.
(Translation of registrant’s name into English)
1-1, Minami-Aoyama 2-chome,
Minato-ku, Tokyo 107-8556, Japan
(Address of principal executive officers)
Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F:
Form 20-F x Form 40-F ¨
Indicate by check mark if the
registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1): ¨
Note: Regulation S-T Rule 101(b)(1) only permits the submission in paper of a Form 6-K if submitted solely to provide an
attached annual report to security holders.
Indicate by check mark if the registrant is submitting the Form 6-K
in paper as permitted by Regulation S-T Rule 101(b)(7): ¨
Indicate by check mark whether by furnishing the information contained in this Form, the registrant is also thereby furnishing the information to the Commission pursuant to
Rule 12g3-2(b) under the Securities Exchange Act of 1934.
Yes ¨ No ¨
If “Yes” is marked, indicate below the file number assigned to the registrant in connection with Rule
12g3-2(b):82-
Table of Contents
Exhibit 1:
Exhibit 2:
Exhibit 3:
Exhibit 4:
Exhibit 5:
Exhibit 6:
Table of Contents
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this
report to be signed on its behalf by the undersigned, thereunto duly authorized.
HONDA GIKEN
KOGYO
KABUSHIKI KAISHA
(HONDA MOTOR CO., LTD)
/s/ SATOSHI
AOKI
Satoshi Aoki
Senior Managing and
Representative Director
Date: December 13, 2002
Table of Contents
Honda Accord / Accord Wagon Wins
Japan Car of the Year Award 2002-2003
November 13, 2002—Honda Motor Co.,
Ltd. has announced that the new Accord / Accord Wagon has won the Japan Car of the Year Award for 2002-2003, conferred by the Japan Car of the Year Executive Committee.
This is the third time the Accord has won this award, which went to the 3rd-generation model in 1985, and to the 5th-generation model in 1993.
The new 7th-generation model inherits the principle of harmony among individuals, cars, and society embodied in every generation of Accord since the first. Combining a roomy interior with a luxurious feel, high performance and
driving comfort, excellent safety and environmental performance, it also comes with HIDS (Honda Intelligent Driver Support System) for lane maintenance and vehicle distance/speed control on freeways and a voice-recognition navigation system, among
other high-tech features. Acclaimed as a new global benchmark for midsize sedans and wagons, the latest Accord has recorded more than 6,000 orders so far.
“We are extremely honored that the new Accord has been singled out for the Japan Car of the Year Award 2002-2003. We are especially gratified that the new Accord is the first to win under the new rules, chosen from a
field including both domestic and import cars,” said Honda’s President and CEO, Hiroyuki Yoshino. “We see this award as the crowning achievement for everyone involved who have lent us their steady support as we developed the concept
and the new technologies, then incorporated them in the new Accord. We will continue to forge ahead and endeavor to meet the high expectations of our customers by developing cars that are one step ahead of their time.”
This is the third year in a row that Honda has won the Japan Car of the Year Award, having won it for the Civic, Civic Ferio, and Stream in 2000 and the Fit in
2001.
Accord and Accord Wagon
Publicity information and photographs of the Accord and Accord Wagon are available from the following URL:
http://www.honda.co.jp/PR/
(This site is intended solely for the use of journalists.)
Table of Contents
Honda FCX Fuel Cell Vehicle Earns Japanese Ministry of Land,
Infrastructure and Transport Approval
—Lease Marketing to Commence
December 2nd in Japan and the U.S.—
November 22, 2002—Honda Motor Co., Ltd. announced today that its FCX fuel cell vehicle has been granted Japanese Ministry of Land, Infrastructure and
Transport approval, and that limited marketing will commence in Japan on December 2nd.
Honda initially plans a limited market release of around thirty vehicles over the first two to three years in Japan and the U.S. combined. One of the
newly certified vehicles will be leased to the Cabinet Office. Next year, Honda plans to lease the vehicle to government offices and public corporations in Japan.
The FCX utilizes Honda’s own independently developed high-efficiency, high-output ultra-capacitor energy storage system to achieve powerful, responsive driving performance. Layout of the
powertrain’s structural components has also been optimized to attain a spacious interior with room for four adults in a compact body that maintains a high level of collision safety performance no matter what the crash direction.
The FCX was the world’s first fuel cell vehicle to obtain U.S. government approval for commercialization in July, and Honda has entered into an
agreement to lease five FCX vehicles to the City of Los Angeles. A vehicle delivery ceremony is scheduled to take place at Los Angeles City Hall on December 2nd, with L.A. Mayor James K. Hahn and Honda President and CEO Hiroyuki Yoshino in attendance.
FCX fuel cell vehicle
-1-
Table of Contents
FCX Specifications
| Number of occupants |
4 | |||
| Maximum speed |
150km/h | |||
| Motor |
Max. output |
60kW (82PS) | ||
| Max. drive torque |
272Nm | |||
| Type |
AC synchronous electric motor (manufactured by Honda) | |||
| Fuel cell stack |
Type |
PEFC (polymer electrolyte fuel cell, manufactured by Ballard) | ||
| Output |
78kW | |||
| Fuel |
Type |
Compressed hydrogen gas | ||
| Storage |
High-pressure hydrogen tank (350 atmospheres) | |||
| Capacity |
156.6L | |||
| Dimensions (L x W x H, mm) |
4,165 x 1,760 x 1,645 | |||
| Energy storage |
Ultra-capacitor (manufactured by Honda) | |||
| Vehicle range |
355km | |||
Publicity materials for the FCX are available at the following URL:
http://www.honda.co.jp/PR/
(This site is intended exclusively for the use of journalists.)
-2-
Table of Contents
Honda Receives Government Certification in China
for Automobile Plant Exclusively for Exports
November 22,
2002, Tokyo – Honda Motor Co., Ltd. has announced that it has received government certification for a passenger car plant project exclusively for exports which it is planning for Guangzhou, China. Following the signing of a memorandum of
understanding between three companies, Guangzhou Auto Group Corp., Dongfeng Motor Corp. and Honda Motor Co., Ltd. in July of this year, an application for the project was submitted to the Chinese government for certification. Having gained approval,
Honda will now consider concrete details of the business plan between the three companies.
An outline of the approved project is shown
below:
| Production model: |
1-1.5L passenger vehicle | |
| Production volume: |
50,000 units/year | |
| Sales territory: |
Europe/Asian region (total production volume for export) | |
| Capital investment: |
U.S.$193 million | |
| Investment percentage: |
Honda Motor Co., Ltd. 65% | |
| Guangzhou Auto Group Corp. 25% | ||
| Dongfeng Motor Corp. 10% | ||
| Location : |
Guangzhou Export Development District | |
| Start of production: |
Latter half of 2004 |
Table of Contents
(NOTE: This release is embargoed until 11:30 a.m., Nov. 25)
HONDA WORLDWIDE PRODUCTION CONTINUES AT RECORD PACE
November 25, 2002 — Honda Motor Co., Ltd., announced today that domestic sales in October were down 5.1% from the same month a year earlier, while domestic
production was up 12.8, the fourth consecutive month for production increases. For calendar 2002, however, domestic sales remain up 5.9% compared to the same period in 2001.
Overseas, production was up 43.3% in Europe and 60.2% in Asia, continuing an upward trend that has continued for 22 consecutive months.
Domestic sales totaled 63,494 vehicles in October, again led by the Fit sub-compact vehicle (20,410 units), up 26% from October 2001. Honda’s Life mini-vehicle (9,588 units) and Mobilio (7,261
units) were the other best-sellers last month.
By vehicle category, passenger car and light truck sales were up 0.1%, while mini vehicle
sales were down 15.7%, the first decline after six months of growth.
Export shipments from Japan in October were up 5.9%, mainly because
of increased shipments to Europe and Asia.
HONDA PRODUCTION, SALES AND EXPORTS—OCTOBER 2002
PRODUCTION
| Oct Units Vs. 10/01 |
Annual Total Units Vs. 2001 | |||||||
| Domestic (CBU+CKD) |
120,900 |
+ 12.8% |
1,150,604 |
+ 8.7% | ||||
| Overseas (CBU only) |
131,132 |
+ 3.4% |
1,273,740 |
+ 10.1% | ||||
| Worldwide Total (*) |
252,032 |
+ 7.7% |
2,424,344 |
+ 9.4% | ||||
(*)-except overseas CKD
REGIONAL PRODUCTION
| Oct Units Vs. 10/01 |
Annual Total Units Vs. 2001 | |||||||
| North America |
89,180 |
- 9.9% |
941,675 |
+ 3.9% | ||||
| (USA only |
62,128 |
- 4.1% |
637,030 |
+ 7.5%) | ||||
| Europe |
18,360 |
+ 43.3% |
147,183 |
+ 61.1% | ||||
| Asia |
18,025 |
+ 60.2% |
142,219 |
+ 24.3% | ||||
| Others |
5,567 |
+ 46.6% |
42,663 |
- 3.4% | ||||
| Overseas Total |
131,132 |
+ 3.4% |
1,273,740 |
+ 10.1% | ||||
Table of Contents
SALES
| Vehicle type |
Oct Units Vs. 10/01 |
Annual Total Units Vs. 2001 | ||||||
| Passenger cars & light trucks |
44,859 |
+ 0.1% |
504,561 |
+ 8.6% | ||||
| (Imports |
474 |
- 25.2% |
7,621 |
+ 4.2%) | ||||
| Mini vehicles |
18,635 |
- 15.7% |
244,865 |
+ 0.8% | ||||
| TOTAL |
63,494 |
- 5.1% |
749,426 |
+ 5.9% | ||||
EXPORTS
| Oct Units Vs. 10/01 |
Annual Total Units Vs. 2001 | |||||||
| North America |
25,267 |
- 16.9% |
244,349 |
+ 8.9% | ||||
| (USA only) |
23,469 |
- 14.4% |
217,654 |
+ 5.0% | ||||
| Europe |
5,905 |
+ 107.5% |
59,447 |
+ 15.8% | ||||
| Asia |
1,924 |
+ 38.9% |
27,875 |
+ 0.4% | ||||
| Others |
7,461 |
+ 105.3% |
54,557 |
+ 34.6% | ||||
| TOTAL |
40,557 |
+ 5.9% |
386,228 |
+ 12.3% | ||||
For further information, please contact:
Masaya Nagai
Noriko Okamoto
Tatsuya David Iida
Honda Motor Co., Ltd. Corporate Communications
Division
Telephone: 03-5412-1512
Facsimile: 03-5412-1545
Table of Contents
Honda Releases the Fit Aria—A New Type of Small Sedan
November 29, 2002—Honda Motor Co., Ltd. has announced the release of the new Fit Aria, an advanced small sedan. With its voluminous
interior—including a roomy 500L*1 cargo space—and a selection of seating arrangements, it
exceeds expectations for spaciousness in a sedan. Equipped with a 1.3L or 1.5L i-DSI engine that delivers nimble performance and high fuel economy of 20.5km/L*2, the Fit Aria goes on sale December 20th at
Honda automobile dealers nationwide.
The Fit Aria is the fourth in the Honda SMALL MAX series, following in the footsteps of the popular
Fit, Mobilio, and Mobilio Spike. Developed with the concept of creating an “advanced small sedan”, it breaks through common thinking on small sedans to take a giant leap ahead in practical functionality for a variety of lifestyle scenes.
Fit Aria 1.5W
lNumber of units for sale (domestic, monthly): 2,000 units
Fit Aria development concepts
Design: A sharp, advanced exterior, and a high-quality interior that goes beyond the expected for a small sedan.
Space and
utility: A relaxed cabin space, coupled with a level of utility that goes well beyond the standard for a sedan.
Dynamics: High
fuel economy combined with limber, stable driving performance.
In order to make these concepts a reality, Honda’s Global Small
Platform with center-tank layout*3 was employed to create an advanced small sedan with a spacious,
low-floor cabin, and to offer outstanding utility in a compact body with short-nosed, forward-cabin design wrapped in advanced styling.
-1-
Table of Contents
A choice of either a 1.3L or a 1.5L i-DSI engine combined with the Honda Multimatic S transmission with
7-speed mode*4 delivers smooth, nimble performance along with a fuel economy of 20.5km/L*5 for the 1.3A and 20.0km/L*5 for the 1.5W, which places the Fit Aria among the top in its class*6. The Fit Aria also offers superb environmental performance: all model types are recognized by the Japanese Ministry of Land, Infrastructure and Transport as Excellent Low Emissions Vehicles, and meet fuel efficiency
requirements for 2010. Moreover, Honda’s original G-Force Control Technology ensures outstanding collision safety as well.
*1 |
Honda in-house measurement according to VDA formula |
*2 |
Fuel consumption for 1.3L front-wheel drive vehicle driven in 10-15 mode (Ministry of Land, Infrastructure and Transport figures)
|
*3 |
Layout with fuel tank located under front-row seats |
*4 |
7-speed mode available with 1.5L engine |
*5 |
Fuel consumption for front-wheel drive vehicle driven in 10-15 mode (Ministry of Land, Infrastructure and Transport figures) |
*6 |
1.3L, 1.5L 4-door sedan class (gasoline-powered vehicles) |
lProjected retail price at dealers nationwide (sales tax not included;
units: ¥1,000)
| Type |
Engine |
Transmission |
Drive wheels |
Price |
||||||
| 1.5W |
1.5L i-DSI |
Honda Multimatic S with 7-speed mode |
FWD |
1,398 |
 | |||||
| 4WD |
1,593 |
|||||||||
| 1.3A |
1.3L i-DSI |
Honda Multimatic S |
FWD |
1,198 |
||||||
| 4WD |
1,393 |
indicates vehicle shown in photograph.  |
Main manufacturer options: |
• |
L Package: HID (High Energy Discharge) headlights (high/low beam); body-colored, electronic, remote-controlled, fold-away side mirrors; roof center antenna;
green privacy glass (rear doors, rear window) (available on the 1.3A) +¥80,000 |
|
Body colors (five colors, including one new): |
Gracious Beige Metallic (new color); Satin Silver Metallic; Ice Blue Metallic; Taffeta White; Eternal Blue Pearl |
¨Main Features
Exterior
• |
The theme for the exterior was to pursue a “forward big cabin” design. The Global Small Platform’s merits of a short nose and spacious cabin were
put to work to create a small sedan with an advanced look. The result was a stylish form that is an exquisite blend of innovation and power. |
• |
Five body colors are available, including one new one: Gracious Beige Metallic. |
Interior
• |
The interior design theme was “modern comfort”. An independent 3-gauge instrument cluster with aluminum gauge rings, metallic-finish center panel with
built-in audio, and other elements create an advanced feel, while the two-tone beige color scheme lends a bright, luxurious air to the vehicle’s interior. |
-2-
Table of Contents
• |
The 1.3A features metallic-finish panels for a modern image, while the 1.5W employs wood-grain panels for a luxurious air, allowing each type to assert its
personality. |
Packaging
• |
The center-tank layout with the fuel tank located under the front seat results in improved ease of use from the rear seats to the trunk. Ample leg room and
plenty of height in the cabin further enhance passenger comfort. |
• |
The rear seat is equipped with dive-down and tip-up mechanisms that permit a wider range of seating arrangements than previously thought possible in a sedan,
for an ULTR (“ultra”) Room that easily accommodates even large cargo. |
The ULTR Room features four seating
arrangement modes:
| Utility Mode: |
The 6:4 split rear seats with dive-down mode stow to create a wide, flat space and further expand the trunk area. | |
| Long Mode: |
In addition to Utility Mode, the front passenger seat fully reclines to create enough space for items as long as 2,710mm*7. | |
| Tall Mode: |
The rear seat cushion tips up to create another cargo space 1,245mm*7 high (effective cabin height), for transporting houseplants and other tall items. | |
| Roomy cargo space: |
The center-tank layout permits a generous cargo space with a 500L*8 capacity. |
*7 |
Honda in-house measurement |
*8 |
Honda in-house measurement according to VDA formula |
Driving performance
• |
The 1.3L and 1.5L i-DSI engines deliver the smooth, light driving feel and excellent fuel economy that are the calling cards of a small sedan. Powerful torque
characteristics in the low- to mid-speed range ensure smooth, stress-free driving. In combination with the Honda Multimatic S CVT (continuously variable automatic transmission) the Fit Aria’s engines attain superb fuel economy of
20.5km/L*9 for the 1.3A and 20.0km/L*9 for the 1.5W. Both types also offer superb environmental performance and are certified as Excellent Low Emissions Vehicles.
|
• |
Both types come fitted with Honda’s new-generation CVT, the Honda Multimatic S, which delivers excellent fuel economy and smooth performance designed to
provide the driver with a natural driving feel. To further enhance the driving experience, the transmission on the 1.5W is also equipped with 7-speed mode, so the driver can choose between CVT, 7-speed auto shift, and 7-speed manual shift modes.
|
• |
The suspension shares the same basic components as the Fit, with custom-tuned spring rates and shock absorber damping rates for optimum performance. The result
is a supple ride combined with stable handling. |
• |
The EPS (electric power steering) has been specially tuned to ensure a natural, solid handling feel at all speeds, from low to high.
|
• |
Engine noise and vibration have been reduced, the body panels made more rigid, and the latest lightweight, high-efficiency sound insulation material employed to
achieve a high level of quietness. |
-3-
Table of Contents
• |
Both types are also available with lightweight, compact, full-time 4WD. |
*9 |
Fuel consumption for front-wheel drive vehicle driven in 10-15 mode (Ministry of Land, Infrastructure and Transport figures) |
Safety
• |
Honda’s original G-CON (G-force Control) technology is incorporated to create a new body with a crash safety design. It can protect vehicle occupants in a
55km/h full-frontal collision, a 64km/h front offset collision, a 55km/h side collision, and a 50km/h rear collision. |
• |
To further improve safety in real-world collisions, Honda has implemented its own vehicle-to-vehicle collision testing program*10 with its own independently-established research standards. This collision testing is much more demanding than
conventional tests in which the car is crashed into a fixed barrier. The Fit Aria’s safety design meets even these stringent testing requirements. |
• |
The number of body sections designed to reduce pedestrian injury has been increased to protect pedestrians’ lower limbs as well as their heads.
|
• |
The interior is designed to protect occupants’ heads in a collision, and front-row seats are also designed to alleviate shock to the neck. These features
help to lessen the severity of head and neck injuries to occupants in the event of a collision. |
• |
An SRS dual front airbag system for the driver and front passenger is standard equipment on both types. |
• |
ISO FIX-compatible child seat anchoring bars (left and right rear seats) are also standard on both types. |
*10 |
Testing involves a 50% front offset collision with a 2-ton class passenger car, both vehicles traveling at 50km/h. |
Environmental performance
• |
Atmospheric pollutants (HC, NOx) in the exhaust gas have been greatly reduced. In fact, the Fit Aria runs so clean that both types are recognized by the
Japanese Ministry of Land, Infrastructure and Transport as Excellent Low Emissions Vehicles, with emissions of less than 50% of those allowed under year 2000 emissions regulations. |
• |
High-efficiency combustion technology helps the Fit Aria attain superb fuel economy of 20.5km/L*11 for the 1.3A and 20.0km/L*11 for the 1.5W. Both types meet fuel efficiency requirements for 2010. |
• |
Most interior and exterior trim components are made of olefin resin for superior recyclability. This and other measures result in an overall vehicle
recyclability that exceeds 90%*12. |
• |
Use of lead has been reduced to less than 1/3 of 1996 levels. |
*11 |
Fuel consumption for front-wheel drive vehicle driven in 10-15 mode (Ministry of Land, Infrastructure and Transport figures) |
*12 |
According to independent Honda measurement standards |
Publicity information for the Fit Aria is available from the following URL:
http://www.honda.co.jp/PR/
(This site is intended solely for the use of journalists.)
-4-
Table of Contents
Table of Contents
Consolidated Financial Summary (Unaudited)
Financial Highlights
Honda Motor Co., Ltd. and Subsidiaries
For the
three months and six months ended September 30, 2001 and 2002
| Millions of yen |
Millions U.S. of dollars | |||||||||||||||||
| Three months |
Six months |
Three months |
Six months | |||||||||||||||
| 2001 |
2002 |
2001 |
2002 |
2002 |
2002 | |||||||||||||
| Net sales and other operating revenue |
¥ |
1,744,561 |
¥ |
1,916,775 |
¥ |
3,504,996 |
¥ |
3,853,611 |
$ |
15,634 |
$ |
31,432 | ||||||
| Operating income |
|
163,792 |
|
153,046 |
|
315,237 |
|
323,869 |
|
1,248 |
|
2,642 | ||||||
| Income before income taxes |
|
134,315 |
|
109,997 |
|
269,987 |
|
273,701 |
|
897 |
|
2,232 | ||||||
| Net income |
|
84,362 |
|
87,181 |
|
173,740 |
|
194,779 |
|
711 |
|
1,589 | ||||||
| Yen |
U.S. dollars | |||||||||||||||||
| Net income per |
||||||||||||||||||
| Common share |
¥ |
86.58 |
¥ |
89.54 |
¥ |
178.30 |
¥ |
199.98 |
$ |
0.73 |
$ |
1.63 | ||||||
| American share |
|
43.29 |
|
44.77 |
|
89.15 |
|
99.99 |
|
0.37 |
|
0.82 | ||||||
| Thousands of units |
||||||||||||||||||||
| Three months |
Six months |
|||||||||||||||||||
| Unit Sales Breakdown |
2001 |
2002 |
2001 |
2002 |
||||||||||||||||
| MOTORCYCLES |
||||||||||||||||||||
| Japan |
107 |
(107 |
) |
121 |
(121 |
) |
216 |
(216 |
)* |
215 |
(215 |
) | ||||||||
| North America |
144 |
(69 |
) |
172 |
(79 |
) |
254 |
(127 |
) |
291 |
(138 |
) | ||||||||
| Europe |
58 |
(57 |
) |
57 |
(54 |
) |
162 |
(159 |
) |
155 |
(150 |
) | ||||||||
| Others |
1,127 |
(1,124 |
) |
1,690 |
(1,690 |
) |
2,174 |
(2,169 |
) |
3,206 |
(3,201 |
) | ||||||||
| |
|
|
|
|
|
|
|
|
|
|
| |||||||||
| Total |
1,436 |
(1,357 |
) |
2,040 |
(1,944 |
) |
2,806 |
(2,671 |
) |
3,867 |
(3,704 |
) | ||||||||
| |
|
|
|
|
|
|
|
|
|
|
| |||||||||
| *Numbers in parentheses represent unit sales of motorcycles included in the total. |
||||||||||||||||||||
| AUTOMOBILES |
||||||||||||||||||||
| Japan |
214 |
213 |
421 |
426 |
||||||||||||||||
| North America |
327 |
365 |
655 |
732 |
||||||||||||||||
| Europe |
41 |
58 |
84 |
104 |
||||||||||||||||
| Others |
68 |
76 |
128 |
144 |
||||||||||||||||
| |
|
|
|
|||||||||||||||||
| Total |
650 |
712 |
1,288 |
1,406 |
||||||||||||||||
| |
|
|
|
|||||||||||||||||
| POWER PRODUCTS |
||||||||||||||||||||
| Japan |
109 |
124 |
191 |
252 |
||||||||||||||||
| North America |
303 |
383 |
736 |
900 |
||||||||||||||||
| Europe |
143 |
157 |
375 |
424 |
||||||||||||||||
| Others |
214 |
221 |
408 |
430 |
||||||||||||||||
| |
|
|
|
|||||||||||||||||
| Total |
769 |
885 |
1,710 |
2,006 |
||||||||||||||||
| |
|
|
|
|||||||||||||||||
Table of Contents
| Millions of yen |
||||||||||||||||||||||||
| Three months |
Six months |
|||||||||||||||||||||||
| Net Sales Breakdown |
2001 |
2002 |
2001 |
2002 |
||||||||||||||||||||
| MOTORCYCLE BUSINESS |
||||||||||||||||||||||||
| Japan |
¥ |
26,114 |
(11.9% |
) |
¥ |
26,442 |
(10.8% |
) |
¥ |
53,850 |
(12.1% |
) |
¥ |
51,975 |
(10.4% |
) | ||||||||
| North America |
|
83,374 |
(38.1% |
) |
|
89,641 |
(36.4% |
) |
|
150,384 |
(33.9% |
) |
|
164,254 |
(33.0% |
) | ||||||||
| Europe |
|
28,305 |
(12.9% |
) |
|
30,801 |
(12.5% |
) |
|
81,660 |
(18.4% |
) |
|
87,221 |
(17.5% |
) | ||||||||
| Others |
|
80,953 |
(37.1% |
) |
|
99,085 |
(40.3% |
) |
|
157,543 |
(35.6% |
) |
|
194,384 |
(39.1% |
) | ||||||||
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||||||
| Total |
¥ |
218,746 |
(100.0% |
) |
¥ |
245,969 |
(100.0% |
) |
¥ |
443,437 |
(100.0% |
) |
¥ |
497,834 |
(100.0% |
) | ||||||||
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||||||
| AUTOMOBILE BUSINESS |
||||||||||||||||||||||||
| Japan |
¥ |
405,124 |
(28.6% |
) |
¥ |
381,222 |
(24.8% |
) |
¥ |
815,995 |
(28.7% |
) |
¥ |
758,141 |
(24.5% |
) | ||||||||
| North America |
|
821,564 |
(58.0% |
) |
|
906,810 |
(58.9% |
) |
|
1,652,405 |
(58.2% |
) |
|
1,862,010 |
(60.2% |
) | ||||||||
| Europe |
|
79,812 |
(5.6% |
) |
|
110,890 |
(7.2% |
) |
|
158,638 |
(5.6% |
) |
|
204,265 |
(6.6% |
) | ||||||||
| Others |
|
111,193 |
(7.8% |
) |
|
141,180 |
(9.1% |
) |
|
212,469 |
(7.5% |
) |
|
267,097 |
(8.7% |
) | ||||||||
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||||||
| Total |
¥ |
1,417,693 |
(100.0% |
) |
¥ |
1,540,102 |
(100.0% |
) |
¥ |
2,839,507 |
(100.0% |
) |
¥ |
3,091,513 |
(100.0% |
) | ||||||||
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||||||
| OTHERS |
||||||||||||||||||||||||
| Japan |
¥ |
28,518 |
(26.4% |
) |
¥ |
35,162 |
(26.9% |
) |
¥ |
56,995 |
(25.7% |
) |
¥ |
66,930 |
(25.3% |
) | ||||||||
| North America |
|
64,319 |
(59.5% |
) |
|
75,006 |
(57.4% |
) |
|
128,501 |
(57.9% |
) |
|
154,275 |
(58.4% |
) | ||||||||
| Europe |
|
8,729 |
(8.1% |
) |
|
11,580 |
(8.9% |
) |
|
21,549 |
(9.7% |
) |
|
26,280 |
(9.9% |
) | ||||||||
| Others |
|
6,556 |
(6.0% |
) |
|
8,956 |
(6.8% |
) |
|
15,007 |
(6.7% |
) |
|
16,779 |
(6.4% |
) | ||||||||
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||||||
| Total |
¥ |
108,122 |
(100.0% |
) |
¥ |
130,704 |
(100.0% |
) |
¥ |
222,052 |
(100.0% |
) |
¥ |
264,264 |
(100.0% |
) | ||||||||
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||||||
| TOTAL |
||||||||||||||||||||||||
| Japan |
¥ |
459,756 |
(26.4% |
) |
¥ |
442,826 |
(23.1% |
) |
¥ |
926,840 |
(26.4% |
) |
¥ |
877,046 |
(22.8% |
) | ||||||||
| North America |
|
969,257 |
(55.6% |
) |
|
1,071,457 |
(55.9% |
) |
|
1,931,290 |
(55.1% |
) |
|
2,180,539 |
(56.6% |
) | ||||||||
| Europe |
|
116,846 |
(6.7% |
) |
|
153,271 |
(8.0% |
) |
|
261,847 |
(7.5% |
) |
|
317,766 |
(8.2% |
) | ||||||||
| Others |
|
198,702 |
(11.3% |
) |
|
249,221 |
(13.0% |
) |
|
385,019 |
(11.0% |
) |
|
478,260 |
(12.4% |
) | ||||||||
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||||||
| Total |
¥ |
1,744,561 |
(100.0% |
) |
¥ |
1,916,775 |
(100.0% |
) |
¥ |
3,504,996 |
(100.0% |
) |
¥ |
3,853,611 |
(100.0% |
) | ||||||||
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||||||
Explanatory notes:
1. |
The geographical breakdown of net sales is based on the location of affiliated and unaffiliated customers. |
2. |
Net sales of others includes revenue from sales of power products and related parts, leisure businesses, trading and finance subsidiaries.
|
Table of Contents
To Our Shareholders
n Second Quarter Results
Honda’s
consolidated net income for the fiscal second quarter ended September 30 2002 totaled ¥87.1 billion ($711 million), an increase of 3.3% from the corresponding period in 2001. Net income per common share for the quarter amounted to ¥89.54
($0.73), compared to ¥86.58 for the same period in 2001. Two of Honda’s American Depositary Shares represent one common share.
Unit sales in all of Honda’s business categories, namely motorcycles, automobiles and power products, increased during the fiscal second quarter, and consolidated net sales and other operating revenue (herein referred
to as “revenue”) for the quarter amounted to ¥1,916.7 billion ($15,634 million), an increase of 9.9% over the corresponding period in 2001.
Revenue included currency translation effects, which had a negative impact on foreign currency denominated revenue from Honda’s overseas subsidiaries translated into yen. Honda estimates that had
the exchange rate of yen remained unchanged from the same period in 2001, revenue for the quarter would have increased approximately 10.2%. Consolidated operating income for the fiscal second quarter totaled ¥153.0 billion ($1,248 million), a
decrease of 6.6% compared to the corresponding period in 2001. This decrease in operating income was primarily due to increases in selling, general and administrative expenses and research and development expenses, which offset Honda’s
increased unit sales and ongoing cost reduction efforts.
Consolidated income before income taxes for the quarter
totaled ¥109.9 billion ($897 million), a decrease of 18.1% from the corresponding period in 2001. With respect to Honda’s sales in the fiscal second quarter by business category, motorcycle unit sales increased 42.1%, to 2,040,000 units,
and revenue increased 12.4%, to ¥245.9 billion ($2,006 million). These increases in unit sales and revenue were due primarily to robust sales in Asian countries such as India, China and Indonesia.
Honda’s unit sales of automobiles increased 9.5%, to 712,000 units, due to higher sales in North America and Europe. Strong sales of
the new Pilot SUV, Civic, CR-V and Odyssey in North America, as well as the Jazz small car and Civic in Europe, were the major contributing factors to this increase in unit sales. Revenue increased 8.6%, to
¥1,540.1 billion ($ 12,562 million), during the quarter.
Unit sales of power products totaled 885,000 units,
an increase of 15.1% compared to the corresponding period in 2001. Strong sales of general-purpose engines in North America were the major factor for this increase in unit sales. Revenue from other businesses, including the power product business
and financial services business, increased 20.9%, to ¥130.7 billion ($1,066 million), due mainly to higher revenue from Honda’s finance subsidiaries.
n First Half-Year Results
Honda’s consolidated net income
for the first six months ended September 30, 2002 totaled ¥194.7 billion ($1,589 million), an increase of 12.1% from the previous year. Net income per common share for the fiscal first half amounted to ¥199.98 ($1.63), compared to
¥178.30 in the corresponding period a year ago.
Consolidated net sales and other operating revenue for the
fiscal first half amounted to ¥3,853.6 billion ($31,432 million), an increase of 9.9% from last year. Revenue included the positive effect of currency translation. Honda estimates that had the exchange
Table of Contents
rate of the yen remained unchanged from the previous year, revenue for the year would have increased approximately 8.3%.
Consolidated operating income for the fiscal first half totaled ¥323.8 billion ($2,642 million), an increase of 2.7% compared to the corresponding period last year.
This increase in operating income was primarily due to an increase in unit sales and the depreciation of the yen, which offset increases in selling, general and administrative expenses and research and development expenses.
Consolidated income before income taxes for the fiscal first half totaled ¥273.7 billion ($2,232 million), an increase of 1.4%
compared to the previous year. With respect to Honda’s sales for the fiscal first half by business category, motorcycle unit sales increased 37.8%, to 3,867,000 units, and revenue increased 12.3%, to ¥497.8 billion ($4,061 million). Robust
sales in Asian countries such as India, China and Indonesia contributed to these increases in unit sales and revenue.
Honda’s unit sales and revenue of automobiles for the fiscal first half increased 9.2%, to 1,406,000 units, and 8.9%, to ¥3,091.5 billion ($25,216million), respectively. Strong sales of the new Pilot SUV, Civic,
CR-V and Odyssey in North America, together with the Jazz small car and CR-V in Europe, were the major contributing factors to this increase in unit sales.
Unit sales of power products totaled 2,006,000 units, an increase of 17.3% compared to the previous year. Higher sales of general-purpose engines in North America, Japan
and Europe were the major factor in this increase in unit sales. Revenue from other businesses, including the power product business and financial services business, increased 19.0%, to ¥264.2 billion ($2,155 million), due mainly to higher
revenue from Honda’s finance subsidiaries and power product business.
November 2002
/s/ Hiroyuki Yoshino
Hiroyuki Yoshino
President and Chief Executive Officer
Table of Contents
News Briefs
North America
n |
All-New 2003 Honda Accord Debuts—Mid-Size Leader Introduces New Era of Style, Performance and Sophistication
|
The Honda Accord underwent the most dramatic change in its 27-year history and ushered in a new era of style, performance and sophistication to the mid-size class
when the 2003 models went on sale September 9.
The Accord, the best-selling car in America in 2001,
features dynamic new styling for both sedan and coupe models. Styling for the sedan and coupe is more distinctive as the two models now share only their headlights. A host of additional standard equipment, including anti-lock brakes, 5-speed
automatic transmission and a tilt and telescopic steering wheel, has been added on all models.
Accord
sales are expected to top 400,000 during the 2003 model year. This will push cumulative U.S. Accord sales to more than eight million since the Accord first went on sale in 1976.
New 4-cylinder and V-6 engines team with new automatic and manual transmissions to give the 2003 models more power, improved fuel efficiency and lower emissions than
the powertrains they replace. A new V-6 powered Accord Coupe equipped with a 6-speed manual transmission will be available early in 2003.
Powertrain highlights include a new 160-horsepower, 2.4-liter i-VTEC 4-cylinder engine (+10 hp); a new 240-horsepower, 3.0-liter V-6 engine (+40 hp); and a new 5-speed automatic transmission (replaces 4-speed automatic).
In California, 2003 Accord Sedan models powered by the 4-cylinder engine and equipped with an automatic
transmission will meet the state’s stringent Super Ultra Low-Emissions Vehicle (SULEV) standard—the most stringent in the world. With sales of about 5,000 SULEV vehicles a month expected, this is the first volume vehicle to be sold meeting
the SULEV standard.
New Accord
For the first time on any Honda, the Accord will offer a side curtain airbag system, available on EX V-6 models. Other safety equipment includes standard dual-stage front airbags: driver’s and front passenger’s side
airbags (standard on EX 4-cylinder and all V-6 models and available on LX 4-cylinder models); Occupant Position Detection System (OPDS) for available passenger side airbag; added rear headrests in outboard seating positions; and LATCH child safety
seat mounting system.
Also available for the first time on the Accord is the next generation of
Satellite-Linked Honda DVD Navigation Systems, offering greatly enhanced features and a revolutionary “Touch by Voice” voice recognition system. Other features of the system include a larger touch-screen display and an expanded database,
covering virtually all U.S. roads as well as seven million points of interest (compared to one million for most systems currently on the market). A new split-screen design also enhances on-screen information with 3-D route visualization for easier
use.
Although much has changed on the Accord, one thing remains the same—it still has the same legendary dependability,
quality and reliability traits that make it one of the best-selling automobiles in America year in and year out.
Japan
n |
Honda Releases the Mobilio Spike—A New 1.5L Compact Multiwagon |
Honda Motor Co., Ltd., announced the release of the Mobilio Spike, a 1.5L multiwagon with an interior that leads the compact body class for spaciousness*1. It also features a versatile cargo space and distinctive styling that delivers enhanced pleasure, opening the door to new recreational
Table of Contents
opportunities. The new Mobilio Spike went on sale September 19 at Honda automobile dealers nationwide.
The Mobilio Spike is Honda’s third model in the Small Max series, following the popular Fit and Mobilio. Honda developed the Mobilio
Spike by applying the “garage box” concept to meet the needs of consumers who view their cars as tools for enjoyment.
| Development Themes of the Mobilio Spike: | ||
| Cargo space: |
meets a broad range of stowage requirements | |
| Styling: |
a distinctive form that owners will love | |
| Cabin: |
a special space to enjoy either alone or with friends | |
The Mobilio Spike is able to embody these development themes
thanks to Honda’s Global Small Platform, which features a center tank layout*2 that permits a
spacious, low-floor cabin.
The newly developed 1.5L VTEC engine has been combined with the Honda Multimatic S
with 7-speed mode*3 for a refreshing, enjoyable feeling while driving. At the same time, the Mobilio
Spike has also been recognized by the Japanese Ministry of Land, Infrastructure and Transport as an Excellent Low-Emissions Vehicle. All model types meet fuel efficiency requirements for 2010. The Mobilio Spike also incorporates
Honda’s original G-CON (G-force Control) technology, resulting in a new body designed focusing on crash safety.
| *1 5-number, 5-seater with a 1.5L displacement *2 Fuel
tank located under front seat *3 7-speed mode is standard on W and A models |
 |
|||
| Mobilio Spike |
Other
n |
Honda to Begin Local Production in Taiwan |
Honda Motor Co.,
Ltd., has announced that Honda Taiwan Co., Ltd., its local subsidiary, will begin production of automobiles by the end of this year, with plans to begin sales of automobiles in January 2003, through a new dealership network currently being
established.
Honda Taiwan will start production with the new CR-V, which is enjoying robust sales in North
America, the ASEAN region and Europe. Current plans call for the production of additional vehicles in the future. Total investment in this new operation is expected to reach 3.4 billion yuan (approximately ¥12.2 billion or $101 million) with
employment of 500 associates.
Production volume during the first year will total approximately 20,000 units.
Honda’s flexible New Manufacturing System will be introduced in this net facility, making it possible to swiftly shift production from one model to another depending upon customer demand with only marginal additional investment. The low cost
and efficiency of this flexible system will enable production of high-quality vehicles at highly competitive prices.
Honda Taiwan will also import automobiles from Japan to broaden its product lineup, and the sales network will be expanded to 70 dealerships in 2004, with a yearly sales target of 35,000 units.
Honda established Honda Taiwan as a 100% owned local subsidiary in February 2002, after discontinuing its local partnership, to create an
organizational structure that would enable it to fully utilize its global production and supply networks. Following this development, in June Honda purchased land and a factory from local automobile manufacturer, Taching Motors Co., Ltd., located in
the south of Taiwan. As part of the initial investment, additional production equipment will be installed in the facility by the end of this year to meet the start of production.
Table of Contents
Consolidated Balance Sheets
Honda Motor Co., Ltd. and Subsidiaries
September 30, 2001 and March 31 and September 30, 2002
| Millions of yen |
||||||||||||
| Sept. 30, 2001 (Unaudited) |
Mar. 31, 2002 (Audited) |
Sept. 30, 2002 (Unaudited) |
||||||||||
| Assets |
||||||||||||
| Current assets: |
||||||||||||
| Cash and cash equivalents |
¥ |
465,706 |
|
¥ |
609,441 |
|
¥ |
518,408 |
| |||
| Trade accounts and notes receivable |
|
368,947 |
|
|
452,208 |
|
|
332,185 |
| |||
| Finance subsidiaries—receivables, net |
|
767,479 |
|
|
995,087 |
|
|
980,852 |
| |||
| Inventories |
|
640,223 |
|
|
644,282 |
|
|
670,268 |
| |||
| Deferred income taxes |
|
180,741 |
|
|
182,788 |
|
|
205,290 |
| |||
| Other current assets |
|
178,952 |
|
|
204,538 |
|
|
227,826 |
| |||
| |
|
|
|
|
|
|
|
| ||||
| Total current assets |
|
2,602,048 |
|
|
3,088,344 |
|
|
2,934,829 |
| |||
| |
|
|
|
|
|
|
|
| ||||
| Finance subsidiaries—receivables, net |
|
1,564,031 |
|
|
1,808,861 |
|
|
2,024,071 |
| |||
| Investments and advances |
|
364,978 |
|
|
395,495 |
|
|
395,138 |
| |||
| Property, plant and equipment, at cost: |
||||||||||||
| Land |
|
304,136 |
|
|
318,208 |
|
|
336,708 |
| |||
| Buildings |
|
839,359 |
|
|
920,106 |
|
|
912,139 |
| |||
| Machinery and equipment |
|
1,883,224 |
|
|
2,048,244 |
|
|
2,018,426 |
| |||
| Construction in progress |
|
145,418 |
|
|
82,610 |
|
|
96,542 |
| |||
| |
|
|
|
|
|
|
|
| ||||
| |
3,172,137 |
|
|
3,369,168 |
|
|
3,363,815 |
| ||||
| Less accumulated depreciation |
|
1,894,853 |
|
|
1,979,455 |
|
|
1,987,880 |
| |||
| |
|
|
|
|
|
|
|
| ||||
| Net property, plant and equipment |
|
1,277,284 |
|
|
1,389,713 |
|
|
1,375,935 |
| |||
| |
|
|
|
|
|
|
|
| ||||
| Other assets |
|
174,190 |
|
|
258,382 |
|
|
241,612 |
| |||
| |
|
|
|
|
|
|
|
| ||||
| Total assets |
¥ |
5,982,531 |
|
¥ |
6,940,795 |
|
¥ |
6,971,585 |
| |||
| |
|
|
|
|
|
|
|
| ||||
| Liabilities and Stockholders’ Equity |
||||||||||||
| Current liabilities: |
||||||||||||
| Bank loans and commercial paper |
¥ |
1,068,122 |
|
¥ |
1,035,069 |
|
¥ |
937,819 |
| |||
| Current portion of long-term debt |
|
361,388 |
|
|
308,014 |
|
|
142,231 |
| |||
| Trade payables |
|
723,156 |
|
|
840,957 |
|
|
775,584 |
| |||
| Accrued expenses |
|
574,890 |
|
|
678,118 |
|
|
719,596 |
| |||
| Income taxes payable |
|
110,823 |
|
|
61,244 |
|
|
66,269 |
| |||
| Other current liabilities |
|
136,550 |
|
|
186,657 |
|
|
232,643 |
| |||
| |
|
|
|
|
|
|
|
| ||||
| Total current liabilities |
|
2,974,929 |
|
|
3,110,059 |
|
|
2,874,142 |
| |||
| |
|
|
|
|
|
|
|
| ||||
| Long-term debt |
|
344,271 |
|
|
716,614 |
|
|
953,833 |
| |||
| Other liabilities |
|
323,792 |
|
|
540,181 |
|
|
550,260 |
| |||
| |
|
|
|
|
|
|
|
| ||||
| Total liabilities |
¥ |
3,642,992 |
|
¥ |
4,366,854 |
|
|
4,378,235 |
| |||
| |
|
|
|
|
|
|
|
| ||||
| Stockholders’ equity: |
||||||||||||
| Common stock |
|
86,067 |
|
|
86,067 |
|
|
86,067 |
| |||
| Capital surplus |
|
172,529 |
|
|
172,529 |
|
|
172,529 |
| |||
| Legal reserves |
|
28,377 |
|
|
28,969 |
|
|
29,012 |
| |||
| Retained earnings |
|
2,589,892 |
|
|
2,765,600 |
|
|
2,945,720 |
| |||
| Adjustments from foreign currency translation |
|
(459,243 |
) |
|
(300,081 |
) |
|
(455,149 |
) | |||
| Net unrealized gains on marketable equity securities |
|
3,599 |
|
|
8,730 |
|
|
12,611 |
| |||
| Minimum pension liabilities adjustments |
|
(81,682 |
) |
|
(187,824 |
) |
|
(187,824 |
) | |||
| Accumulated other comprehensive income (loss) |
|
(537,326 |
) |
|
(479,175 |
) |
|
(630,362 |
) | |||
| Treasury stock |
|
— |
|
|
(49 |
) |
|
(9,616 |
) | |||
| |
|
|
|
|
|
|
|
| ||||
| Total stockholders’ equity |
¥ |
2,339,539 |
|
¥ |
2,573,941 |
|
¥ |
2,593,350 |
| |||
| |
|
|
|
|
|
|
|
| ||||
| Total liabilities and stockholders’ equity |
¥ |
5,982,531 |
|
¥ |
6,940,795 |
|
¥ |
6,971,585 |
| |||
| |
|
|
|
|
|
|
|
| ||||
Table of Contents
Consolidated Statements of Income and Retained Earnings (Unaudited)
Honda Motor Co., Ltd. and Subsidiaries
For the three months and six months ended September 30, 2001 and 2002
| Millions of yen |
||||||||||||||
| Three months |
Six months |
|||||||||||||
| 2001 |
2002 |
2001 |
2002 |
|||||||||||
| Net sales and other operating revenue |
¥ |
1,744,561 |
¥ |
1,916,775 |
¥ |
3,504,996 |
|
¥ |
3,853,611 |
| ||||
| Operating costs and expenses: |
||||||||||||||
| Cost of sales |
|
1,185,292 |
|
1,296,008 |
|
2,405,537 |
|
|
2,614,864 |
| ||||
| Selling, general and administrative |
|
306,848 |
|
362,721 |
|
601,468 |
|
|
701,855 |
| ||||
| Research and development |
|
88,629 |
|
105,000 |
|
182,754 |
|
|
213,023 |
| ||||
| |
|
|
|
|
|
|
|
|
| |||||
| Operating income |
|
163,792 |
|
153,046 |
|
315,237 |
|
|
323,869 |
| ||||
| Other income: |
||||||||||||||
| Interest |
|
1,772 |
|
1,727 |
|
4,056 |
|
|
4,093 |
| ||||
| Other |
|
5,792 |
|
225 |
|
1,167 |
|
|
5,541 |
| ||||
| Other expenses: |
||||||||||||||
| Interest |
|
3,750 |
|
2,057 |
|
8,765 |
|
|
6,377 |
| ||||
| Other |
|
33,291 |
|
42,944 |
|
41,708 |
|
|
53,425 |
| ||||
| |
|
|
|
|
|
|
|
|
| |||||
| Income before income taxes |
|
134,315 |
|
109,997 |
|
269,987 |
|
|
273,701 |
| ||||
| Income taxes |
|
58,269 |
|
39,265 |
|
113,326 |
|
|
107,184 |
| ||||
| |
|
|
|
|
|
|
|
|
| |||||
| Income before equity in income of affiliates |
|
76,046 |
|
70,732 |
|
156,661 |
|
|
166,517 |
| ||||
| Equity in income of affiliates |
|
8,316 |
|
16,449 |
|
17,079 |
|
|
28,262 |
| ||||
| |
|
|
|
|
|
|
|
|
| |||||
| Net income |
|
84,362 |
|
87,181 |
|
173,740 |
|
|
194,779 |
| ||||
| Retained earnings: |
||||||||||||||
| Balance at beginning of period |
|
2,505,530 |
|
2,858,539 |
|
2,428,293 |
|
|
2,765,600 |
| ||||
| Cash dividends paid |
|
— |
|
— |
|
(11,693 |
) |
|
(14,616 |
) | ||||
| Transfer to legal reserves |
|
— |
|
— |
|
(448 |
) |
|
(43 |
) | ||||
| |
|
|
|
|
|
|
|
|
| |||||
| Balance at end of period |
¥ |
2,589,892 |
¥ |
2,945,720 |
¥ |
2,589,892 |
|
¥ |
2,945,720 |
| ||||
| |
|
|
|
|
|
|
|
|
| |||||
| Yen |
||||||||||||||
| Net income per |
||||||||||||||
| Common share |
|
¥86.58 |
|
¥89.54 |
|
¥178.30 |
|
|
¥199.98 |
| ||||
| American share |
|
43.29 |
|
44.77 |
|
89.15 |
|
|
99.99 |
| ||||
| |
|
|
|
|
|
|
|
|
| |||||
Table of Contents
Consolidated Statements of Cash Flows
Honda Motor Co., Ltd. and Subsidiaries
For the six months ended September 30, 2001 and 2002
| Millions of yen |
||||||||
| Six months |
||||||||
| 2001 |
2002 |
|||||||
| Cash flows from operating activities: |
||||||||
| Net income |
¥ |
173,740 |
|
¥ |
194,779 |
| ||
| Adjustments to reconcile net income to net cash provided by operating activities: |
||||||||
| Depreciation |
|
89,858 |
|
|
102,105 |
| ||
| Deferred income taxes |
|
(44,278 |
) |
|
(8,713 |
) | ||
| Equity in income of affiliates |
|
(17,079 |
) |
|
(28,262 |
) | ||
| Loss on fair value adjustment of derivative instrument (profit) |
|
30,576 |
|
|
43,462 |
| ||
| Decrease (increase) in: |
||||||||
| Trade accounts and notes receivable |
|
61,630 |
|
|
97,858 |
| ||
| Inventories |
|
(36,773 |
) |
|
(62,948 |
) | ||
| Increase (decrease) in trade payables |
|
(81,018 |
) |
|
(26,445 |
) | ||
| Other, net |
|
91,675 |
|
|
60,393 |
| ||
| |
|
|
|
|
| |||
| Net cash provided by operating activities |
|
268,331 |
|
|
372,229 |
| ||
| |
|
|
|
|
| |||
| Cash flows from investing activities: |
||||||||
| Decrease (increase) in investments and advances |
|
4,082 |
|
|
11,785 |
| ||
| Capital expenditures |
|
(133,092 |
) |
|
(133,290 |
) | ||
| Proceeds from sales of property, plant and equipment |
|
6,320 |
|
|
5,517 |
| ||
| Decrease (increase) in finance subsidiaries—receivables |
|
(353,738 |
) |
|
(417,561 |
) | ||
| |
|
|
|
|
| |||
| Net cash used in investing activities |
|
(476,428 |
) |
|
(533,549 |
) | ||
| |
|
|
|
|
| |||
| Cash flows from financing activities: |
||||||||
| Increase (decrease) in short-term debt |
|
196,418 |
|
|
(4,164 |
) | ||
| Proceeds from long-term debt |
|
220,501 |
|
|
349,893 |
| ||
| Repayment of long-term debt |
|
(148,345 |
) |
|
(229,568 |
) | ||
| Acquisition of treasury stock |
|
— |
|
|
(9,567 |
) | ||
| Cash dividends paid |
|
(11,693 |
) |
|
(14,616 |
) | ||
| Increase (decrease) in commercial paper classified as long-term debt |
|
391 |
|
|
2,069 |
| ||
| |
|
|
|
|
| |||
| Net cash provided by financing activities |
|
257,272 |
|
|
94,047 |
| ||
| |
|
|
|
|
| |||
| Effect of exchange rate changes on cash and cash equivalents |
|
(988 |
) |
|
(23,760 |
) | ||
| |
|
|
|
|
| |||
| Net change in cash and cash equivalents |
|
48,187 |
|
|
(91,033 |
) | ||
| Cash and cash equivalents at beginning of year |
|
417,519 |
|
|
609,441 |
| ||
| |
|
|
|
|
| |||
| Cash and cash equivalents at end of year |
¥ |
465,706 |
|
¥ |
518,408 |
| ||
| |
|
|
|
|
| |||
Table of Contents
Consolidated Balance Sheets
Divided into Non-financial services businesses and Finance subsidiaries (Unaudited)
Honda Motor Co., Ltd. and Subsidiaries
September 30, 2002
| Millions of yen |
% of total |
||||||
| Assets |
|||||||
| Non-financial services businesses |
|||||||
| Current assets |
¥ |
2,753,438 |
|
39.5 |
% | ||
| Cash and cash equivalents |
|
496,510 |
|
||||
| Trade accounts and notes receivable |
|
337,460 |
|
||||
| Inventories |
|
670,268 |
|
||||
| Other current assets |
|
1,249,200 |
|
||||
| Investments and advances |
|
539,381 |
|
7.7 |
| ||
| Property, plant and equipment, at cost |
|
1,354,388 |
|
19.4 |
| ||
| Other assets |
|
225,157 |
|
3.3 |
| ||
| |
|
|
|
| |||
| Total assets |
|
4,872,364 |
|
69.9 |
| ||
| Finance subsidiaries |
|||||||
| Cash and cash equivalents |
|
21,898 |
|
0.3 |
| ||
| Finance subsidiaries—short-term receivables, net |
|
981,372 |
|
14.1 |
| ||
| Finance subsidiaries—long-term receivables, net |
|
2,026,304 |
|
29.1 |
| ||
| Other assets |
|
69,533 |
|
1.0 |
| ||
| |
|
|
|
| |||
| Total assets |
|
3,099,107 |
|
44.5 |
| ||
| Eliminations among subsidiaries |
|
(999,886 |
) |
(14.4 |
) | ||
| |
|
|
|
| |||
| Total assets |
¥ |
6,971,585 |
|
100.0 |
% | ||
| |
|
|
|
| |||
| Liabilities and Stockholders’ Equity |
|||||||
| Non-financial services businesses |
|||||||
| Current liabilities |
¥ |
1,831,948 |
|
26.3 |
% | ||
| Short-term debt |
|
227,200 |
|
||||
| Current portion of long-term debt |
|
8,417 |
|
||||
| Trade payables |
|
777,643 |
|
||||
| Accrued expenses |
|
611,512 |
|
||||
| Other current liabilities |
|
207,176 |
|
||||
| Long-term debt |
|
36,163 |
|
0.5 |
| ||
| Other liabilities |
|
549,932 |
|
7.9 |
| ||
| |
|
|
|
| |||
| Total liabilities |
|
2,418,043 |
|
34.7 |
| ||
| Finance subsidiaries |
|||||||
| Short-term debt |
|
1,489,661 |
|
21.4 |
| ||
| Current portion of long-term debt |
|
133,814 |
|
1.9 |
| ||
| Accrued expenses |
|
114,904 |
|
1.6 |
| ||
| Long-term debt |
|
919,510 |
|
13.2 |
| ||
| Other liabilities |
|
161,419 |
|
2.3 |
| ||
| |
|
|
|
| |||
| Total liabilities |
|
2,819,308 |
|
40.4 |
| ||
| Eliminations among subsidiaries |
|
(859,116 |
) |
(12.3 |
) | ||
| |
|
|
|
| |||
| Total liabilities |
¥ |
4,378,235 |
|
62.8 |
% | ||
| |
|
|
|
| |||
| Common stock |
|
86,067 |
|
1.2 |
| ||
| Capital surplus |
|
172,529 |
|
2.5 |
| ||
| Legal reserves |
|
29,012 |
|
0.4 |
| ||
| Retained earnings |
|
2,945,720 |
|
42.2 |
| ||
| Accumulated other comprehensive income (loss) |
|
(630,362 |
) |
(9.0 |
) | ||
| Treasury stock |
|
(9,616 |
) |
(0.1 |
) | ||
| |
|
|
|
| |||
| Total stockholders’ equity |
¥ |
2,593,350 |
|
37.2 |
% | ||
| |
|
|
|
| |||
| Total liabilities and stockholders’ equity |
¥ |
6,971,585 |
|
100.0 |
% | ||
| |
|
|
|
| |||
Table of Contents
Consolidated Statements of Cash Flows
Divided into Non-financial services businesses and Finance subsidiaries (Unaudited)
Honda Motor Co., Ltd. and
Subsidiaries
For the six months ended September 30, 2002
| Millions of yen |
||||||||
| Non-financial services
businesses |
Finance subsidiaries |
|||||||
| Cash flows from operating activities: |
||||||||
| Net income |
¥ |
200,100 |
|
¥ |
(5,082 |
) | ||
| Adjustments to reconcile net income to net cash provided by operating activities: |
||||||||
| Depreciation |
|
101,711 |
|
|
394 |
| ||
| Deferred income taxes |
|
(32,271 |
) |
|
23,558 |
| ||
| Equity in income of affiliates |
|
(28,048 |
) |
|
— |
| ||
| Loss on fair value adjustment of derivative instrument (profit) |
|
2,282 |
|
|
41,180 |
| ||
| Decrease (increase) in trade accounts and notes receivable |
|
95,394 |
|
|
— |
| ||
| Decrease (increase) in inventories |
|
(62,948 |
) |
|
— |
| ||
| Increase (decrease) in trade payables |
|
(29,419 |
) |
|
— |
| ||
| Other, net |
|
63,469 |
|
|
8,432 |
| ||
| |
|
|
|
|
| |||
| Net cash provided by operating activities |
|
310,270 |
|
|
68,482 |
| ||
| |
|
|
|
|
| |||
| Cash flows from investing activities: |
||||||||
| *Decrease (increase) in investments and advances |
|
(159,786 |
) |
|
(125 |
) | ||
| Capital expenditures |
|
(131,206 |
) |
|
(2,084 |
) | ||
| Proceeds from sales of property, plant and equipment |
|
5,439 |
|
|
78 |
| ||
| Decrease (increase) in finance subsidiaries—receivables |
|
— |
|
|
(420,528 |
) | ||
| |
|
|
|
|
| |||
| Net cash used in investing activities |
|
(285,553 |
) |
|
(422,659 |
) | ||
| |
|
|
|
|
| |||
| Free cash flow (Cash flows from operating and investing activities) |
|
24,717 |
|
|
(354,177 |
) | ||
| |
|
|
|
|
| |||
| Free cash flow of Non-financial services businesses, excluding the increase in loans (amounting to ¥81,986
million) to Finance subsidiaries (Note) |
|
179,525 |
|
|
— |
| ||
| |
|
|
|
|
| |||
| Cash flows from financing activities: |
||||||||
| *Increase (decrease) in short-term debt |
|
(74,844 |
) |
|
220,252 |
| ||
| *Proceeds from long-term debt |
|
7,446 |
|
|
344,287 |
| ||
| *Repayment of long-term debt |
|
(4,117 |
) |
|
(225,451 |
) | ||
| Proceeds from issuance of common stock |
|
— |
|
|
16,967 |
| ||
| Acquisition of treasury stock |
|
(9,567 |
) |
|
— |
| ||
| Cash dividends paid |
|
(14,661 |
) |
|
(194 |
) | ||
| Increase (decrease) in commercial paper classified as long-term debt |
|
— |
|
|
2,069 |
| ||
| |
|
|
|
|
| |||
| Net cash provided by financing activities |
|
(95,743 |
) |
|
357,930 |
| ||
| Effect of exchange rate changes on cash and cash equivalents |
|
(23,262 |
) |
|
(498 |
) | ||
| |
|
|
|
|
| |||
| Net change in cash and cash equivalents |
|
(94,288 |
) |
|
3,255 |
| ||
| Cash and cash equivalents at beginning of year |
|
590,798 |
|
|
18,643 |
| ||
| |
|
|
|
|
| |||
| Cash and cash equivalents at end of year |
¥ |
496,510 |
|
¥ |
21,898 |
| ||
| |
|
|
|
|
| |||
Note: |
Non-financial services businesses loans to Finance subsidiaries. These cash flows were included in the items of “Other, net” of Non-financial services
businesses, “Increase (decrease) in short-term debt” and “Repayment of long-term debt” of Finance subsidiaries (marked by *). Free cash flow of Non-financial services businesses, excluding the increase in loans to Finance
subsidiaries, are stated for your information. |
Table of Contents
Segment Information (Unaudited)
Business Segment Information
For the six months ended September 30, 2002
| Millions of yen | ||||||||||||||||||||||
| Motorcycle Business |
Automobile Business |
Financial Services |
Other Businesses |
Total |
Eliminations |
Consolidated | ||||||||||||||||
| Net sales and other operating revenue: |
||||||||||||||||||||||
| Sales to unaffiliated customers |
¥ |
497,834 |
¥ |
3,091,513 |
¥ |
117,116 |
¥ |
147,148 |
¥ |
3,853,611 |
¥ |
— |
|
¥ |
3,853,611 | |||||||
| Intersegment sales |
|
0 |
|
0 |
|
1,737 |
|
5,495 |
|
7,232 |
|
(7,232 |
) |
|
— | |||||||
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||
| Total |
¥ |
497,834 |
¥ |
3,091,513 |
¥ |
118,853 |
¥ |
152,643 |
¥ |
3,860,843 |
¥ |
(7,232 |
) |
¥ |
3,853,611 | |||||||
| Cost of sales, SGA and R&D expenses |
|
460,508 |
|
2,845,067 |
|
85,333 |
|
146,066 |
|
3,536,974 |
|
(7,232 |
) |
|
3,529,742 | |||||||
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||
| Operating income |
¥ |
37,326 |
¥ |
246,446 |
¥ |
33,520 |
¥ |
6,577 |
¥ |
323,869 |
¥ |
0 |
|
¥ |
323,869 | |||||||
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||
For the six months ended September 30, 2001
| Millions of yen | |||||||||||||||||||||||
| Motorcycle Business |
Automobile Business |
Financial Services |
Other Businesses |
Total |
Eliminations |
Consolidated | |||||||||||||||||
| Net sales and other operating revenue: |
|||||||||||||||||||||||
| Sales to unaffiliated customers |
¥ |
443,437 |
¥ |
2,839,507 |
¥ |
95,731 |
¥ |
126,321 |
|
¥ |
3,504,996 |
¥ |
— |
|
¥ |
3,504,996 | |||||||
| Intersegment sales |
|
0 |
|
0 |
|
2,993 |
|
5,056 |
|
|
8,049 |
|
(8,049 |
) |
|
— | |||||||
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||
| Total |
¥ |
443,437 |
¥ |
2,839,507 |
¥ |
98,724 |
¥ |
131,377 |
|
¥ |
3,513,045 |
¥ |
(8,049 |
) |
¥ |
3,504,996 | |||||||
| Cost of sales, SGA and R&D expenses |
|
414,166 |
|
2,571,522 |
|
79,189 |
|
132,931 |
|
|
3,197,808 |
|
(8,049 |
) |
|
3,189,759 | |||||||
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||
| Operating income (loss) |
¥ |
29,271 |
¥ |
267,985 |
¥ |
19,535 |
¥ |
(1,554 |
) |
¥ |
315,237 |
¥ |
0 |
|
¥ |
315,237 | |||||||
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||
Explanatory notes:
1. |
Segmentation of Business |
Business segments are based on Honda’s business organization and the similarity of the principal products within each segment, as well as the relevant
markets for such products. |
2. |
Principal products of each segment: |
| Business |
Sales |
Principal Products | ||
| Motorcycle |
Motorcycles, all-terrain vehicles (ATVs), personal water craft and relevant parts |
Large motorcycles, mid-size motorcycles, motorized bicycles, ATVs and personal water craft | ||
| Automobile |
Automobiles and relevant parts |
Compact cars, sub-compact cars and minivehicles | ||
| Finance Services |
Finance and insurance services |
N/A | ||
| Other |
Power products and relevant parts, and others |
Power tillers, generators, general-purpose engines, lawn mowers and outboard engines |
Table of Contents
Geographical Segment Information
For the six months ended September 30, 2002
| Millions of yen | ||||||||||||||||||||||
| Japan |
North America |
Europe |
Others |
Total |
Eliminations |
Consolidated | ||||||||||||||||
| Net sales and other operating revenue: |
||||||||||||||||||||||
| Sales to unaffiliated customers |
¥ |
989,145 |
¥ |
2,187,855 |
¥ |
319,762 |
¥ |
356,849 |
¥ |
3,853,611 |
¥ |
— |
|
¥ |
3,853,611 | |||||||
| Transfers between geographical segments |
|
928,269 |
|
67,177 |
|
64,036 |
|
9,032 |
|
1,068,514 |
|
(1,068,514 |
) |
|
— | |||||||
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||
| Total |
¥ |
1,917,414 |
¥ |
2,255,032 |
¥ |
383,798 |
¥ |
365,881 |
¥ |
4,922,125 |
¥ |
(1,068,514 |
) |
¥ |
3,853,611 | |||||||
| Cost of sales, SGA and R&D expenses |
|
1,826,265 |
|
2,065,422 |
|
382,130 |
|
332,782 |
|
4,606,599 |
|
(1,076,857 |
) |
|
3,529,742 | |||||||
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||
| Operating income |
¥ |
91,149 |
¥ |
189,610 |
¥ |
1,668 |
¥ |
33,099 |
¥ |
315,526 |
¥ |
8,343 |
|
¥ |
323,869 | |||||||
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||
For the six months ended September 30, 2001
| Millions of yen | |||||||||||||||||||||||
| Japan |
North America |
Europe |
Others |
Total |
Eliminations |
Consolidated | |||||||||||||||||
| Net sales and other operating revenue: |
|||||||||||||||||||||||
| Sales to unaffiliated customers |
¥ |
1,023,198 |
¥ |
1,938,500 |
¥ |
269,242 |
|
¥ |
274,056 |
¥ |
3,504,996 |
¥ |
— |
|
¥ |
3,504,996 | |||||||
| Transfers between geographical segments |
|
821,468 |
|
74,805 |
|
8,779 |
|
|
6,693 |
|
911,745 |
|
(911,745 |
) |
|
— | |||||||
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||
| Total |
¥ |
1,844,666 |
¥ |
2,013,305 |
¥ |
278,021 |
|
¥ |
280,749 |
¥ |
4,416,741 |
¥ |
(911,745 |
) |
¥ |
3,504,996 | |||||||
| Cost of sales, SGA and R&D expenses |
|
1,716,117 |
|
1,814,283 |
|
298,729 |
|
|
252,834 |
|
4,081,963 |
|
(892,204 |
) |
|
3,189,759 | |||||||
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||
| Operating income (loss) |
¥ |
128,549 |
¥ |
199,022 |
¥ |
(20,708 |
) |
¥ |
27,915 |
¥ |
334,778 |
¥ |
(19,541 |
) |
¥ |
315,237 | |||||||
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||
Explanatory note: Geographical segmentation is based on the location
where sales originated.
Overseas Sales
For the six months ended September 30, 2001 and 2002
| Millions of yen |
||||||||||||||||||||||||||||||||
| 2001 |
2002 |
|||||||||||||||||||||||||||||||
| North America |
Europe |
Others |
Total |
North America |
Europe |
Others |
Total |
|||||||||||||||||||||||||
| Overseas sales |
¥ |
1,931,290 |
|
¥ |
261,847 |
|
¥ |
385,019 |
|
¥ |
2,578,156 |
|
¥ |
2,180,539 |
|
¥ |
317,766 |
|
¥ |
478,260 |
|
¥ |
2,976,565 |
| ||||||||
| Consolidated sales |
¥ |
3,504,996 |
|
¥ |
3,853,611 |
| ||||||||||||||||||||||||||
| Overseas sales ratio to consolidated sales |
|
55.1 |
% |
|
7.5 |
% |
|
11.0 |
% |
|
73.6 |
% |
|
56.6 |
% |
|
8.2 |
% |
|
12.4 |
% |
|
77.2 |
% | ||||||||
Table of Contents
Explanatory notes:
1. |
The Company prepares its consolidated financial statements in conformity with accounting principles generally accepted in the United States since the Company
has issued American Depositary Receipts listed on the New York Stock Exchange and files reports with the U.S. Securities and Exchange Commission, except all segment information which is prepared in accordance with a Ministerial Ordinance under the
Securities and Exchange Law of Japan. |
2. |
The average exchange rates for the fiscal second quarter, ended September 30, 2002, were ¥119.24=U.S.$1 and ¥117.32=€1. The average exchange rates
for the corresponding period last year were ¥121.72=U.S.$1 and ¥108.31=€1. The average exchange rates for the fiscal first half, ended September 30, 2002, were ¥123.14=U.S.$1 and ¥116.94=€1, as compared with
¥122.21=U.S.$1 and ¥107.77=€1 for the corresponding period last year. |
3. |
U.S. dollar amounts have been translated from yen, solely for the convenience of the reader, at the rate of ¥122.60=U.S.$1, the mean of the telegraphic
transfer selling exchange rate and the telegraphic transfer buying exchange rate prevailing on the Tokyo Foreign Exchange Market on September 30, 2002. |
4. |
The Company’s Common Stock-to-ADR exchange rate has been changed from two shares of Common Stock to one ADR to one share of Common Stock to two ADRs,
effective January 10, 2002. |
5. |
The Company has adopted the provisions of Statement of Financial Accounting Standards (SFAS) No.130, “Reporting Comprehensive Income.” The following
table represents components of the Company’s comprehensive income. Other comprehensive income (loss) consists of changes in adjustments from foreign currency translation, net unrealized gains on marketable equity securities and minimum pension
liabilities adjustment. |
| Millions of yen |
||||||||
| For the three months ended Sept. 30 |
2001 |
2002 |
||||||
| Net income |
¥ |
84,362 |
|
¥ |
87,181 |
| ||
| Other comprehensive income (loss) |
|
(67,508 |
) |
|
(8,819 |
) | ||
| |
|
|
|
|
| |||
| Comprehensive income (loss) |
¥ |
16,854 |
|
¥ |
78,362 |
| ||
| Millions of yen |
||||||||
| For the six months ended Sept. 30 |
2001 |
2002 |
||||||
| Net income |
¥ |
173,740 |
|
¥ |
194,779 |
| ||
| Other comprehensive income (loss) |
|
(52,799 |
) |
|
(151,187 |
) | ||
| |
|
|
|
|
| |||
| Comprehensive income |
¥ |
120,941 |
|
¥ |
43,592 |
| ||
6. |
Certain reclassifications have been made to the prior year’s consolidated financial statements to conform to the presentation used for the fiscal second
quarter and first half ended September 30, 2002. |
Investor Information
Transfer Agent for Common Stock
The Chuo Mitsui Trust and Banking
Co., Ltd.
33-1, Shiba 3-chome, Minato-ku,
Tokyo 105-8574,
Japan
Depositary and Transfer Agent for American Depositary Receipts
JPMorgan Chase Bank
270 Park Avenue,
New York, NY 10017-2070, U.S.A.
Stock Exchange Listings in Japan
Tokyo, Osaka, Nagoya, Sapporo and Fukuoka
Stock Exchange
Listings Overseas
New York, London, Euronext Paris and Swiss stock exchanges
Total Shares of Common Stock Issued and Outstanding
974,414,215 (as of September 30, 2002)
Honda Motor Co., Ltd.
1-1, 2-chome, Minami-Aoyama,
Minato-ku, Tokyo 107-8556, Japan
Phone: (03)3423-1111
URL: http://world.honda.com/
Honda North America, Inc.
New York Office
540 Madison Avenue, 32nd Floor,
New York, NY 10022, U.S.A.
Phone: (212) 355-9191
Honda Motor Europe Limited
470 London Road,
Slough, Berkshire SL3 8QY, U.K.
Phone: (01753) 590-590