Yamaha Motor Reports Record H1 Profit

TOKYO, Nov 13, 2002; Reuters reported that Japanese motorcycle maker Yamaha Motor Co. said its operating profit cruised to a record high in the past half year, driven by brisk sales in Asia and Europe.

Group operating profit jumped 89.7 percent to 40.96 billion yen in April-September, as sales grew 5.5 percent to 525.79 billion yen.

The strong results had been expected after the world's second-largest motorcycle maker raised its half-year and full-year earnings estimates in September.

Yamaha, which also boasts large sales of boats and outboard motors, revised up its full-year forecast for group net profit to 25 billion yen from 20.5 billion yen, while its sales outlook was raised to 1.01 trillion yen from 990 billion yen.

Yamaha has said it aims to raise its share of the global motorcycle market to 20 percent in 2010 from eight percent now, and has been focusing on the fast-growing and younger markets of China and India to make up for its shrinking domestic business.

All Japanese motorcycle makers including world leader Honda Motor Co. have faced difficult times at home, where the market has been going downhill since the mid-1980s as the population rapidly ages and economic growth sputters.

Through a mid-term plan drawn up this spring, Yamaha is aiming to build on its business in Asia and cut costs further to achieve its long-term goal of a group operating profit of 70 billion yen in 2004/05.