Message from the Director in Charge of Corporate Planning & Finance
We are proactively making focused investments in
emerging markets, on enhancing product attractiveness and environmental initiatives.
Yutaka Tabata
Managing Director, Head Officer of the Headquarters,
Corporate Planning & Finance Group Headquarters
In fiscal 2014, Mitsubishi Motors generated approximately ¥180.0
the 35.0% recorded a year earlier. As the automobile industry is
billion in cash flow from operating activities. This high level was
susceptible to exchange rate fluctuations as well as the external
thanks to the Company’s highest levels of profits to date.
environment, we will continue working to strengthen our finan-
First of all, we will apply this cash toward investments to real-
cial base and are targeting a shareholders’ equity ratio of 50%.
We recognize the return of profits to shareholders as one
ize sustainable growth and enhanced corporate value through initiatives to reinforce and expand our business foundation. In fiscal
of our topmost management priorities going forward. In fiscal
2014, we channeled capital expenditures of approximately ¥70.0
2014, we did not award a special dividend commemorating our
billion to Thailand, to augment and update production facilities
resumption of dividends as we had in the preceding fiscal year,
and in relation to new products, including a new model launch.
but we raised the regular dividend by ¥1 per share, to ¥16.
The Company has made the stable return of profits to
From fiscal 2015, we plan to increase capital expenditures by
around ¥100.0 billion per year. These funds will go toward new
shareholders one of its key principles going forward. Accord-
products and reinforcing our production and sales structures in
ingly, we will consider expanding dividend levels further, while
emerging markets. In addition, we will invest in new test research
taking into overall account such factors as cash flow, operating
facilities for the development of future technologies, such as a test
performance trends, the status of growth strategy implementa-
course in Thailand and an environmental test building in Japan.
tion and the need to reinforce our financial base.
Separately from the capital expenditures mentioned above, we
have embarked on the construction of a new plant in Indonesia
as part of our emerging market strategy. Over the next two years,
we expect to invest approximately ¥30.0 billion for this plant.
In fiscal 2014, our R&D expenditures amounted to around
Maintaining and Increasing Investment in Line with
Our Growth Strategy
Capital Expenditures
150
105.0
100
100.0
100
74.6
68.0
become of increasing importance in new-car development, we
will expand our initiatives in this area.
(Billions of yen)
150
¥75.0 billion. As the upfront development of various core
technologies, including eco-car and safety technologies, has
R&D Expenditures
(Billions of yen)
50
82.0
84.5
2015
(Target)
2016
(Target)
50
Financially, we are strengthening shareholders’ equity and
curtailing interest-bearing debt. As a result, as of March 31, 2015,
our shareholders’ equity ratio was 41.6%, an improvement from
New test course at Mitsubishi Motors (Thailand)
(FY)
0
2014
(Actual)
2015
(Target)
2016
(Target)
(FY)
0
2014
(Actual)
Groundbreaking ceremony at our new plant in Indonesia
MITSUBISHI MOTORS CORPORATION
Annual Report 2015
11