Annual Report 2007

Building a Platform for Growth

Revenues .......................¥21,928.0 billion(+13.4%)

Operating income ...........¥2,038.8 billion(+20.4%)

In fiscal 2007, consolidated revenues increased 13.4%, to ¥21,928.0 billion, with strong vehicle sales in North America and Europe offsetting sales declines in Japan and Asia. Operating income was up 20.4%, to ¥2,038.8 billion. The increase in operating income was mainly due to increases in both production volume and vehicle units sold, the effect of changes in exchange rates, and cost reduction efforts, partially offset by an increase in expenses related to business expansion.

Revenues .......................¥1,300.5 billion(+30.5%)

Operating income ...........¥158.5 billion(+1.7%)

In fiscal 2007, consolidated revenues grew 30.5%, to ¥1,300.5 billion, due to higher auto sales financing that accompanied brisk vehicle sales. Meanwhile, operating income rose 1.7%, to ¥158.5 billion, as a steady increase in financing volume offset the valuation losses on interest rate swaps stated at fair value of sales finance subsidiaries in North America.

Revenues .......................¥1,323.7 billion(+11.2%)

Operating income ...........¥39.6 billion(-0.2%)

In fiscal 2007, consolidated revenues were up 11.2%, to ¥1,323.7 billion, while operating income was ¥39.6 billion, remaining at the same level as in fiscal 2006. Included in other business operations, the housing business achieved favorable production and sales.