Lower profit per unit from prioritizing sales volume in new-vehicle sales
First written in FY2019-Q3. 3 of 7 entries say "Restated". Latest entry: FY2026.
No other company in this theme has enough history to compare yet.
- FY2026MitigatedAnnual report
「Overseas sales were 26,039 units (108.1% year on year), and new vehicle sales for the Group as a whole were 51,078 units (100.4% year on year), slightly exceeding the previous fiscal year, resulting in higher revenue and profit.」
While domestic sales of Honda and Nissan vehicles declined, higher overseas sales lifted total new vehicle sales above the previous fiscal year, resulting in higher revenue and profit. - FY2025MaterialisedAnnual report
「In the new vehicle segment, domestic sales of Honda vehicles were 7,907 units (101.6% year on year), while Nissan vehicle sales were 14,475 units (89.1% year on year). New vehicle sales for the Group as a whole, including overseas sales, increased to 50,865 units (105.2% year on year), exceeding the previous fiscal year in terms of both units and sales. However, this was insufficient to offset the decline in domestic unit sales and deterioration in gross profit per vehicle, resulting in higher revenue but lower profit.」
Although new vehicle sales, including overseas sales, increased, the decline in domestic sales and deterioration in gross profit per vehicle were actual factors behind the increase in revenue and decline in profit. - FY2024MitigatedAnnual report
「In the new vehicle segment, domestic sales of Honda vehicles were 7,780 units (106.4% year on year), while Nissan vehicle sales were 16,238 units (94.6% year on year). New vehicle sales for the Group as a whole, including overseas sales, were 48,338 units (100.5% year on year), slightly exceeding the previous fiscal year on a unit basis. In addition, the higher proportion of standard vehicles in domestic sales contributed to higher revenue and profit.」
New vehicle sales slightly exceeded the previous fiscal year, and the increase in the proportion of standard vehicles in domestic sales also contributed to higher revenue and profit. Profitability improved from the previously reported situation in which prioritising unit sales reduced profit per vehicle. - FY2020RestatedAnnual report
「The increase in the proportion of minicars and the objective of increasing the number of customers under management in the future led us to focus on sales with increasing unit sales as the top priority, reducing profit per new vehicle and resulting in lower revenue and profit.」
While prioritising unit sales to increase the number of customers under management in the future, profit per new vehicle declined, resulting in lower revenue and profit for the full year as well. - FY2020-Q1RestatedAnnual report
「However, the increase in the proportion of minicars and the objective of increasing the number of customers under management in the future led us to focus on sales with increasing unit sales as the top priority, reducing profit per new vehicle and resulting in a slight decline in both revenue and profit.」
The company again confirmed that the increase in the proportion of minicars and the prioritisation of unit sales to increase the number of customers under management in the future reduced profit per new vehicle, resulting in a slight decline in both revenue and profit. - FY2019RestatedAnnual report
「However, partly to increase the number of customers under management in the future, we focused on sales with increasing unit sales as the top priority, which reduced profit per new vehicle. Although this secured higher revenue, it resulted in lower profit.」
The company again confirmed in its full-year results that prioritising unit sales to increase the number of customers under management in the future reduced profit per new vehicle, resulting in lower profit despite higher revenue. - FY2019-Q3MaterialisedAnnual report
「However, partly to increase the number of customers under management in the future, we focused on sales with increasing unit sales as the top priority, which reduced profit per new vehicle. Although this secured higher revenue, it resulted in lower profit.」
This is the first disclosure stating that prioritising unit sales to increase the number of customers under management in the future reduced profit per new vehicle, resulting in lower profit despite higher revenue.