豐田汽車 (TM) 2020 Q3 法說會逐字稿

[Interpreted] Hello, everyone. Thank you very much for joining us today. I am Masayoshi Shirayanagi.

【解讀】大家好。非常感謝您今天加入我們。我是白柳正芳。

And first of all, I would like to take this opportunity to thank our customers who chose us as well as our stakeholders who support us. It is my pleasure to discuss Toyota's financial results for the third quarter of the fiscal year ending March 2020.

首先，我想藉此機會感謝選擇我們的客戶以及支持我們的利害關係人。我很高興討論豐田截至 2020 年 3 月的財年第三季的財務表現。

Let me discuss our financial results for the first 9 months from April to December 2019. Compared to the first 9 months of the previous fiscal year, consolidated vehicle sales increased by 129,000 units to 6,830,000 units. This was a result of solid sales, mainly in Japan and North America and Europe, driven by new models such as the RAV4 and Corolla.

讓我討論一下我們從2019年4月到12月的前9個月的財務表現。與上一財年的前9個月相比，綜合汽車銷量增加了129,000輛，達到6,830,000輛。這是由於 RAV4 和 Corolla 等新車型的強勁銷售（主要是在日本、北美和歐洲）的結果。

Consolidated financial results for the first 9 months of this fiscal year were net revenue of JPY 22,830.1 billion, operating income of JPY 2,058.7 billion, pretax income of JPY 2,515.7 billion and net income of JPY 2,013 billion.

本財年前9個月的合併財務表現為淨收入228,301億日元，營業收入20,587億日元，稅前收入25,157億日元，淨利20,130億日元。

I would like to explain the factors, which impacted operating income year-on-year. Firstly, the effects of foreign exchange rate decreased operating income by JPY 250 billion. Secondly, cost reduction efforts increased operating income by JPY 110 billion. Thirdly, marketing efforts, which resulted in improved profitability in financial services as well as streamlined sales expenses, increased operating income by JPY 160 billion. Finally, expenses decreased operating income by JPY 50 billion due to a proactive allocation of R&D costs in advanced and cutting-edge technologies fields, while promoting efficiency through TPS and refining costs at all levels. As a result, excluding the overall impact of foreign exchange rates, soft valuation gains and losses and other factors, operating income improved by JPY 220 billion year-on-year.

我想解釋一下影響營業收入年比的因素。首先，匯率影響導致營業收入減少2,500億日圓。其次，降低成本的努力使營業收入增加了1,100億日圓。第三，行銷工作提高了金融服務的獲利能力並簡化了銷售費用，使營業收入增加了 1,600 億日圓。最後，由於在先進和尖端技術領域積極分配研發成本，同時透過TPS和各級煉油成本提高效率，費用使營業收入減少了500億日圓。由此，剔除匯率、估值軟盈虧等因素的整體影響，營業收入較去年同期改善2,200億日圓。

Now I'd like to elaborate on operating income for each region going from the left-hand side to the right-hand side on Slide 6. In Japan, operating income was down JPY 11.6 billion year-on-year to JPY 1,232.5 billion, mainly due to the effects of foreign exchange rates.

現在我想從幻燈片6的左側到右側詳細介紹每個地區的營業收入。在日本，營業收入較去年同期下降116億日圓至12,325億日圓，主要是受外匯匯率的影響。

In North America, operating income was JPY 328.5 billion, up JPY 164.8 billion compared to the first 9 months of the previous fiscal year, mainly due to marketing efforts, including increased operating income from financial services as well as a reduction in expenses. In addition, we are promoting activities on all fronts, such as carefully and strategically examining the allocation of incentives, strengthening model-based cost-reduction activities, making efforts to improve the supply of SUV light trucks, improving the productivity of each of our manufacturing plants and reducing fixed costs on a company-wide basis.

在北美，營業收入為3,285億日元，較上一財年前9個月增加1,648億日元，主要得益於行銷努力，包括金融服務營業收入增加以及費用減少。此外，我們正在全面推進各項工作，例如仔細地、策略性地審視激勵分配，加強車型降成本活動，並著力改善SUV輕卡的供給，提高我們各個製造業的生產力。工廠並降低全公司的固定成本。

In Europe, operating income was up JPY 22.7 billion year-on-year to JPY 109.7 billion. This was mainly due to marketing efforts.

在歐洲，營業收入較去年同期增加227億日圓至1,097億日圓。這主要歸功於行銷努力。

In Asia, operating income, including that of consolidated subsidiaries in China, was down JPY 65.9 billion year-on-year to JPY 329.1 billion. Excluding the effects of foreign exchange rates caused by depreciation of the Chinese yuan and appreciation of the Thai Baht, operating income increased by JPY 10.9 billion year-on-year.

在亞洲，包括中國合併子公司在內的營業收入較去年同期下降659億日元，至3,291億日圓。剔除人民幣貶值和泰銖升值帶來的匯率影響，營業收入較去年同期增加109億日圓。

In other regions, operating income decreased by JPY 11 billion year-on-year to JPY 73.3 billion. This is largely due to effects of foreign exchange rates.

其他地區營業收入較去年減少110億日圓至733億日圓。這主要是由於外匯匯率的影響。

Next, let me explain our consolidated subsidiaries and equity method affiliates in China as well as our financial services business. As for China business, operating income of consolidated subsidiaries decreased by JPY 15.2 billion year-on-year to JPY 116.7 billion. Excluding the effects of ForEx rates caused by the depreciation of the Chinese yuan, operating income increased by JPY 24.4 billion year-on-year. Equity in earnings of equity method affiliates was up JPY 9.5 billion year-on-year to JPY 94.2 billion, largely due to marketing efforts.

接下來，我將介紹我們在中國的合併子公司和權益法關聯公司以及我們的金融服務業務。中國業務方面，合併子公司營業收入為1,167億日元，年減152億日圓。剔除人民幣貶值造成的外匯匯率影響，營業收入較去年同期增加244億日圓。權益法附屬公司收益中的權益年增 95 億日元，達到 942 億日元，主要歸功於行銷努力。

Regarding financial services. Operating income, excluding swap valuation gains and losses for the fiscal year, was up JPY 44.1 billion year-on-year to JPY 307.9 billion. This was mainly due to an increase in the lending balance and a decrease in costs related to residual value losses.

關於金融服務。本財年營業收入（不含掉期估值損益）年增 441 億日圓，達到 3,079 億日圓。這主要是由於貸款餘額增加以及殘值損失相關成本減少所致。

Next, I'd like to move on to discuss the outlook for the full fiscal year ending March 2020. With regard to our consolidated vehicle sales, we have maintained our forecast that was announced in our Q2 results anticipating vehicle sales in North America to increase by 20,000 units and vehicle sales in Asia to decrease by 20,000 units.

接下來，我想繼續討論截至 2020 年 3 月的整個財年的前景。關於我們的綜合汽車銷量，我們維持了第二季度業績中宣布的預測，預計北美的汽車銷量將增加減少2萬輛，亞洲汽車銷量減少2萬輛。

We have adopted ForEx rate assumptions for January onwards of JPY 105 per dollar and JPY 120 per euro, which makes a full year assumptions JPY 108 per dollar and JPY 121 per euro. Based on this, our forecast for full year consolidated financial performance are net revenue of JPY 29.500 trillion; operating income of JPY 2.500 trillion, pretax income of JPY 2.910 trillion and net income of JPY 2.350 trillion.

我們採用 1 月份起的外匯匯率假設為每美元 105 日元和每歐元 120 日元，這使得全年假設為每美元 108 日元和每歐元 121 日元。據此，我們對全年合併財務表現的預測為淨收入29.500兆日圓；營業收入為2.500兆日元，稅前收入為2.910兆日元，淨利為2.350兆日圓。

Now I'd like to explain the factors, which will impact operating income year-on-year. Operating income is now expected to be JPY 2.500 trillion. That is up JPY 100 billion from the previous forecast that was announced in our Q2 results. And please see Slide 10 for on analysis of the latest operating income forecast in comparison to our previous forecast announced in Q2 results.

現在我想解釋一下影響營業收入年比的因素。目前營業收入預計為 2.500 兆日圓。這比我們先前在第二季業績中宣布的預測增加了 1,000 億日圓。請參閱投影片 10，以了解最新營業收入預測與我們先前在第二季業績中公佈的預測相比的分析。

Compared year-on-year, the latest operating income forecast for this fiscal year represents an improvement of JPY 32.5 billion. We remain committed to and will continue to undertake our profit improvement activities across the company with utmost effort.

與去年同期相比，本財年的最新營業收入預測提高了325億日圓。我們仍然致力於並將繼續盡最大努力在整個公司範圍內開展利潤改善活動。

Next, Executive Vice President, Leroy, will explain our efforts on enhancement of sales competitiveness. This concludes my presentation. Thank you very much for your attention.

接下來，執行副總裁Leroy將介紹我們在增強銷售競爭力方面所做的努力。我的演講到此結束。非常感謝您的關注。

Good afternoon, ladies and gentlemen. My name is Didier Leroy. I would like to express my deep appreciation to all our customers around the world as well as all our dealers and suppliers who have made tremendous efforts to deliver smile to each and every one of our customers. I would like to express my sincere gratitude to all of our shareholders, business partners and also stakeholders for their daily support of Toyota.

女士們、先生們，午安。我叫迪迪埃·勒羅伊。我謹向我們世界各地的所有客戶以及所有經銷商和供應商表示深深的感謝，他們付出了巨大的努力，為我們的每位客戶帶來微笑。我謹向所有股東、業務夥伴以及利害關係人對豐田的日常支持表示誠摯的謝意。

Today, I will explain our activities to strengthen sales competitiveness in each region. Toyota vehicle sales in 2019 reached 9.71 million units. The global vehicle market shrank and the competitive environment were very severe. Nevertheless, we exceeded both sales in 2018 and sales target in 2019.

今天，我將解釋我們為增強每個地區的銷售競爭力而開展的活動。 2019年豐田汽車銷量達971萬輛。全球汽車市場萎縮，競爭環境十分嚴峻。儘管如此，我們還是超額完成了2018年的銷售額和2019年的銷售目標。

In 2019, sales in Asia declined, partly due to the trade friction between the U.S. and China. However, other regions, such as China, Europe and Japan make up for this decline. This underscores the fact that Toyota growth is supported by our strategy to develop a well-balanced business across the world. As the result of this strategy, our global sales has been growing steadily.

2019年，亞洲銷售額下降，部分原因是中美貿易摩擦。然而，中國、歐洲和日本等其他地區彌補了這一下降。這強調了這樣一個事實：豐田的成長是由我們在全球範圍內發展均衡業務的策略所支持的。由於這項策略的實施，我們的全球銷售額一直在穩步成長。

Let me touch now on our activity in some region to show how our strategy is customer-centric. In China, despite the market declined by 8% in 2019, Toyota sales volume increased by 9%. This is partly due to strong sales of our completely redesigned Corolla and Levin. Based on the Toyota new global architecture platform, the driving performance has significantly improved. Each and every salesperson showcase the appeal of our vehicle and focus on providing customers with opportunities to realize the attractiveness of our vehicles through test drive at dealers. As part of our customer-centric approach, we are also avoiding jumping to price cuts to ensure that our used car price do not decline. This has helped to increase awareness among customers that, in addition to quality, fuel efficiency and performance, another attraction of Toyota vehicles is resale value.

現在讓我談談我們在某些​​地區的活動，以展示我們的策略如何以客戶為中心。在中國，儘管2019年市場下滑8%，豐田銷量卻成長9%。這部分是由於我們完全重新設計的卡羅拉和雷凌的強勁銷售。基於豐田全新全球架構平台，駕駛性能顯著提升。每位銷售人員都展現了我們車輛的魅力，並致力於為客戶提供透過經銷商試駕來認識我們車輛吸引力的機會。作為我們以客戶為中心的方法的一部分，我們也避免急於降價，以確保我們的二手車價格不會下降。這有助於提高客戶的認識，除了品質、燃油效率和性能之外，豐田汽車的另一個吸引力是轉售價值。

Two years ago, Chinese Premier, Li Keqiang, visited Japan and see them. The Chinese government has shown strong interest in our environmental technologies. We would like to contribute to the development in China by utilizing our technology while focusing on partnership.

兩年前，中國總理李克強訪問日本並探望了他們。中國政府對我們的環保技術表現出了濃厚的興趣。我們希望利用我們的技術，同時注重合作關係，為中國的發展做出貢獻。

In Europe, our long-term effort has borne fruit. Future tightening of environmental regulation was expected, and we decided to anticipate customer needs by taking advantage of our hybrid technology. However, it was an extremely demanding choice because in the European market, diesel technology was dominant and hybrid technology was quite unknown to customers.

在歐洲，我們的長期努力已取得成果。預計未來環境監管將會收緊，我們決定利用我們的混合技術來預測客戶需求。然而，這是一個極其苛刻的選擇，因為在歐洲市場，柴油技術占主導地位，而混合動力技術對客戶來說卻相當陌生。

First, we convinced the dealer of the benefits of our hybrid technology, such as fuel economy, quietness, durability, maintenance and ownership costs. Our salespeople are learning the new technology from scratch, so they could better communicate the appeal of hybrid vehicle to customers. Customers gradually become aware of its benefits.

首先，我們讓經銷商相信我們的混合動力技術的優勢，例如燃油經濟性、安靜性、耐用性、維護和擁有成本。我們的銷售人員正在從頭開始學習新技術，以便他們能夠更好地向客戶傳達混合動力汽車的吸引力。客戶逐漸意識到它的好處。

Our customer also played a role in communicating the advantage of hybrid technology over other type of vehicles. In the past, hybrid technology was misunderstood by some people who believe that it's sometimes difficult to repair if it's breakdown or hybrid vehicle need to be charged. However, such misunderstanding have gradually decreased. We have sincerely responded to our customer, listen their voices and move ahead step by step. Consistent efforts directed toward a shift of hybrid finally pay off. Now hybrid vehicles are chosen by more than half of our customers who purchased Toyota vehicle, and this has boosted our overall sales volume and performance in Europe.

我們的客戶也在宣傳混合動力技術相對於其他類型車輛的優勢方面發揮了作用。過去，混合動力技術被一些人誤解，認為混合動力汽車如果故障或需要充電，有時很難修復。不過，這樣的誤解已經逐漸減少。我們真誠回應客戶，傾聽客戶的聲音，一步一步前進。針對混合動力轉變的持續努力終於得到了回報。現在，超過一半購買豐田汽車的客戶選擇了混合動力汽車，這提高了我們在歐洲的整體銷售和業績。

In North America also, our strategy was strongly focused on customers. In the region, the ratio of hybrid vehicle for the RAV4, for example, was previously about 13%. We conducted detailed surveys, listening to the opinion of the customers and dealers and found that the low ratio has been caused by the perception of hybrid vehicle are inferior in power. Then we decided to showcase their on-road performance and excellent fuel economy with greater emphasis when we're rolling out the completely redesigned RAV4. As a result, the number of customer who see the RAV4 hybrid as powerful increased from 27% to 38%. Sales also increased, and the hybrid ratio of the new RAV4 in 2019 increased to 25%. We really wish to popularize the use of hybrid vehicle regardless of region, and thereby, contributing to protecting our planet. We will continue to listen to the voice of our customer and deliver electrified vehicles that meet their needs.

在北美，我們的策略也非常注重客戶。在該地區，以RAV4為例，此前混合動力汽車的比例約為13%。我們進行了詳細的調查，聽取了客戶和經銷商的意見，發現比例較低的原因是混合動力汽車的動力較差。然後，我們決定在推出完全重新設計的 RAV4 時，更加重視展示其公路性能和出色的燃油經濟性。結果，認為 RAV4 混合動力車功能強大的客戶數量從 27% 增加到 38%。銷量也有所成長，2019年新款RAV4的混動比例提升至25%。我們真誠地希望無論在哪個地區都能普及混合動力汽車的使用，從而為保護我們的地球做出貢獻。我們將繼續傾聽客戶的聲音，提供滿足他們需求的電動車。

We are also moving forward with the reform of our dealer network here in Japan. We are taking off this -- taking on this challenge for the future. And this cannot be properly addressed if we stick to conventional IDs only. If what customers expect of car changes, ideal sales method will naturally change, too.

我們也正在推動日本經銷商網路的改革。我們正在起飛——迎接未來的挑戰。如果我們只堅持傳統的ID，這個問題就無法得到妥善解決。如果顧客對汽車的期望發生變化，理想的銷售方式自然也會改變。

In our effort at reform, we will implement an initiative to make all Toyota vehicle models available at all sales outlets throughout Japan. And our original plan was to implement this initiative in stages as far as 2025. However, to reinforce our best-in-town activity, it is necessary to provide various products and services at an early stage to address a wide range of local needs and issues. So we have decided to move forward by 2 years from the initial plan, all model and all channel, and we will start in May this year.

在改革過程中，我們將實施一項舉措，使日本所有銷售網點都可以銷售所有豐田車型。我們最初的計劃是在 2025 年之前分階段實施這一舉措。然而，為了加強我們的城中最佳活動，有必要在早期階段提供各種產品和服務，以滿足當地的廣泛需求和需求。問題。所以我們決定比最初的計畫提早2年，全車型全通路，今年5月開始。

I met a dealer representative, and I asked them to tell me very, very frankly what they think about that and to share their honest opinion and concern with me. Many dealers expressed their concern of the possibility that the delay in supply of popular vehicle. So immediately, we have made adjustments in our production system, steadily making preparation that can be implemented now to anticipate the potential risk through sowing the seeds for future growth, which is not bound to plan our precedent. We are determined to change ourself to become a Toyota that continue to be chosen by customers.

我遇到了一位經銷商代表，我請他們非常非常坦率地告訴我他們對此的看法，並與我分享他們的誠實意見和擔憂。許多經銷商表達了他們對熱門車輛供應可能延遲的擔憂。所以我們立即對生產體系進行了調整，穩步做好現在可以實施的準備，為未來的成長埋下種子來預見潛在的風險，這不一定是我們的先例。我們立志改變自己，成為客戶持續選擇的豐田。

In each country and region, Toyota employees were engaged in sales activity, focused on selling 1 vehicle more and reducing even by just JPY 1 in their own works' fair. And I think that is -- in all the regions struggling, for example, another region should make up for the global sales. The spirit of working for others is rooted in the Toyota Group across the world. I visited many region and meet many, many stakeholders there. I always keep a card in my braced pocket in which -- like this one, in which I myself wrote 10 elements of leadership. Among them, the elements I mentioned, especially when I meet people at genba is fighting spirit and be passionate. We are faced to the tidal wave of revolution, and we cannot survive unless we continue to implement every measure and make every effort to provide customers with the mobility and services they need. For our customer's file, we will continue to do our best and challenge forward with a fighting spirit and, again, with passion.

在各國和地區，豐田員工都在從事銷售活動，在自己的工廠展會上，重點是多銷售一輛車，甚至減少 1 日圓。我認為，例如，在所有陷入困境的地區，另一個地區應該彌補全球銷售額。為他人工作的精神植根於世界各地的豐田集團。我訪問了許多地區，並在那裡會見了許多利益相關者。我總是在我的口袋裡放一張卡片，就像這張卡片一樣，我自己在上面寫下了領導力的 10 個要素。其中，我提到的要素，特別是當我在現場遇到人時，就是鬥志和熱情。我們面臨革命的浪潮，如果我們不繼續落實各項措施，竭盡全力為客戶提供所需的出行和服務，我們就無法生存。為了客戶的檔案，我們將繼續竭盡全力，以鬥志和熱情繼續挑戰前進。

To conclude my presentation, as you know, during the customer electronics show held in the U.S. in January, President Toyoda announced the Connected City Project. This project is living laboratory. And of course, this is just starting point for the future. And in the near future, we will be able to give you much more information about this project.

總結一下我的演講，如您所知，在一月在美國舉行的客戶電子展上，豐田章男總裁宣布了互聯城市計畫。該項目是生活實驗室。當然，這只是未來的起點。在不久的將來，我們將能夠為您提供有關該項目的更多資訊。

Thank you. Thank you very much for your attention this afternoon. Thank you.

謝謝。非常感謝您今天下午的關注。謝謝。

[Portions of this transcript that are marked [Interpreted] were spoken by an interpreter present on the live call.]

[本文字記錄中標記為[已翻譯]的部分是由現場通話中的口譯員朗讀的。]