Osaka, Japan – Yamaha Corporation announced their first-quarter results on July 30, 2024, during a conference call. The company’s managing executive officer, Satoshi Yamahata, highlighted the key aspects of their performance, emphasizing the impact of exchange rates on revenue and core operating profit. Despite a decrease in revenue from musical instruments sales in China, Yamaha Corporation reported an overall increase in core operating profit, driven by strong B2B sales in audio equipment.

The company revised their full-year forecast due to the slow market recovery in China and the implementation of an early retirement program at their piano factory in the country. Despite challenges in the Chinese market, Yamaha Corporation remains optimistic about their core operating profit for the year. However, they acknowledge potential negative factors such as increased procurement costs and ocean freight charges.

Yamaha Corporation provided a breakdown of their first-quarter performance, detailing revenue, core operating profit, core operating profit ratio, and net profit figures. While revenue and profit increased overall, there was a slight decrease in revenue on a constant currency basis. The company attributed the increase in core operating profit to positive exchange rate effects, offsetting the decrease in profits from musical instruments.

Looking ahead, the company outlined their full-year outlook by segment, projecting a decline in revenue and profit from musical instruments, despite favorable exchange rates. On the other hand, audio equipment is expected to show growth throughout the year, driven by strong B2B performance. Additionally, Yamaha Corporation anticipates an increase in revenue and profit from their IMC business and others segment.

Yamaha Corporation highlighted their strategies for future growth, including plans to enhance customer relationships by opening new brand stores and developing products with individuality. The company also emphasized their commitment to sustainability, citing efforts to expand instrumental music education in emerging countries.

In conclusion, Yamaha Corporation announced two new initiatives during the conference call, including a stock split and the discontinuation of special benefits for shareholders. These decisions are aimed at increasing shareholder value and ensuring fair returns on investments. The company remains focused on strengthening their business foundation and driving innovation in the digital piano market.