YAMAHA UP
August 2 2007.
Yamaha Motor Co. group net profit jumped 51% on year in the fiscal second quarter, supported by strong sales of motorcycles in Asia and the yen's weakness.

The Japanese motorcycle maker had a group net profit of Y24.43 billion for the quarter ended June, up from Y16.17 billion a year earlier.

Its group operating profit rose 21% to Y34.94 billion. Its group sales jumped 15% to Y476.49 billion from Y413.99 billion.

The company noted strong motorcycle sales in Indonesia, Vietnam and China.

In a bid to tap growing demand in emerging markets, Yamaha said Monday it will spend Y5.4 billion to build a new motorcycle plant in Vietnam. Last month, Yamaha unveiled plans to boost production capacity of motorcycles in Indonesia by more than 20% by 2008.

For the full business year ending in December, Yamaha raised its sales and profit outlook. It expects the yen's weakness will help underpin earnings, though it anticipates a decline in U.S. sales.

It is now predicting a record group net profit of Y79.5 billion, compared with a profit of Y78 billion it had previously estimated in February. Sales are now pegged at Y1.700 trillion, compared with Y1.650 trillion previously foreseen.


Source: Nikkei News