Higher revenues and lower income compared to the previous fiscal year are the results planned for the year ending March 31, 2008.
For net sales, improved sales mixture in Japan due to a growth in passenger cars and growth in units is planned in overseas, 49.2 billion increase, 18.6 billion yen increase at the 3 companies and others, a strong yen brings a 10.2 billion yen reduction by foreign currency exchange rate differences, with a total of 55.2 billion yen increase.
A detailed explanation for the operating income follows later, but while an improved sales volume and mixture and material cost reduction are being promoted, increased capital investment and advertising expenses associated with a release of new models, along with R&D expenses reducing the income by 12.9 billion yen, brings about a forecast for 35.0 billion yen.
With respect to the ordinary income as well, the foreign exchange hedge rate is forecasted at roughly 115 yen/US$ in this period, and that the foreign exchange losses are forecasted to fall, however, due to other items, a non-operating loss of about 3 billion yen is expected, for a fall 12.2 billion yen decrease from the previous fiscal year, to 30.0 billion yen.
The period net income also falls by 15.9 billion yen to 16.0 billion yen.