(Nov. 8, 2005)
Fuji Heavy Industries Ltd.

<Reference for the First Half of FY2006(Apr. 2005 to Sep. 2005)
Non-Consolidated Financial Results>

(in 100 millions of yen)
(in thousands of units)
  RESULTS
1st HALF of FY2005
Apr. 2004 to
Sep. 2004
RESULTS
1st HALF of FY2006

Apr. 2005 to
Sep. 2005
RESULTS
FY2005

Apr. 2004 to Mar. 2005
FORECAST
FY2006

Apr. 2005 to
Mar. 2006
FORECAST
FY2006
(May 2005)
Apr. 2005 to
Mar. 2006
Net Sales
Domestic
Overseas
4,864
2,183
2,681
4,759
2,155
2,604
(2.2) %
(1.3) %
(2.9) %
9,495
4,524
4,971
9,600
4,400
5,200
1.1 %
(2.7) %
4.6 %
9,440
4,610
4,830
Margin Percentage
Operating Income
4.1 %
200
5.6 %
268
34.1 %
3.7 %
354
4.5 %
430
21.3 %
3.2 %
300
Margin Percentage
Ordinary Income
3.5 %
169
4.7 %
222
31.1 %
3.3 %
313
3.5 %
340
8.6 %
3.1 %
290
Margin Percentage
Net Income
1.4 %
67
2.8 %
132
97.1 %
0.3 %
25
0.9 %
90
259.6 %
1.1 %
100
Factors of Change
in Operating Income
  Gain factors
Decrease in R&D
expenses
Decrease of expenses
and others
Reduction in cost

62

51
51

Loss factors
Decrease in sales mix
Foreign exchange
91
 5
  Gain factors
Decrease of expenses
Reduction in cost
Decrease in R&D
expenses
Foreign exchange
92
88

42
5

Loss factors
Decrease in sales mix
 151
Gain factors
Reduction in cost
Decrease of expenses
and others
93

81

Loss factors
Decrease in sales mix
Foreign exchange
Increase in R&D
expenses
119
88

21
Foreign Exchange Rate YEN/US$ 110 109 108 108 105
Capital Investment 108 85 256 280 320
Depreciation and Amortization 132 122 276 250 260
R&D Expenses 277 215 528 486 549
Interest bearing debt 1,468 1,248 1,403 1,400 1,400
Performance of operation   Net Sales to decrease
Operation Income to increase
  Net Sales to increase
Operation Income to increase
Best Net Sales
 
Domestic Production Volume 253 230 (8.9) % 481 459 (4.5) % 462
Domestic Sales
Small Cars
Minicars
133
52
82
123
54
69
(7.8) %
4.0 %
(15.3) %
273
108
165
245)
107
137
(10.3) %
(0.6) %
(16.6) %
263
110
153
Export
North America
Europe
Other
114
60
27
27
106
47
27
31
(7.4) %
(20.9) %
(0.1) %
15.2 %
213
102
54
57
214
97
56
61
0.6 %
(4.6) %
3.0 %
7.6 %
197
93
51
54
Knock Down Parts 58 63 8.2 % 115 125 8.7 % 138