UNITED STATES SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

Form 6-K

REPORT OF FOREIGN PRIVATE ISSUER

PURSUANT TO RULE 13a-16 or 15d-16 UNDER

THE SECURITIES EXCHANGE ACT OF 1934

For the month of July, 2011

Commission file number 0-12602

MAKITA CORPORATION

 

(Translation of registrant’s name into English)

3-11-8, Sumiyoshi-cho, Anjo City, Aichi Prefecture, Japan

 

(Address of principal executive offices)

Indicate by check mark whether the registrant files or will file annual reports under cover Form 20-F or Form 40-F.

Form 20-F  þ        Form 40-F  ¨

Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101 (b)(1):  x

Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101 (b)(7):  ¨

Indicate by check mark whether by furnishing the information contained in this Form, the registrant is also thereby furnishing the information to the Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of 1934.

Yes  ¨                     No  þ

If “Yes” is marked, indicate below the file number assigned to the registrant in connection with Rule 12g3-2(b): 82-       

 

 

 

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SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

 

Date: July 29, 2011

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CONSOLIDATED FINANCIAL RESULTS

FOR THE THREE MONTHS ENDED JUNE 30, 2011 (Unaudited)

July 29, 2011

Makita Corporation

Stock code: 6586

URL: http://www.makita.co.jp/

Masahiko Goto, President, Representative Director & CEO

1. Summary operating results of the three months ended June 30, 2011 (From April 1, 2011 to June 30, 2011)

(1) CONSOLIDATED OPERATING RESULTS

		Yen (millions)
		For the three months ended June 30, 2010										For the three months ended June 30, 2011
						%										%
Net sales			64,822				17.0						76,078				17.4
Operating income			10,136				52.7						13,011				28.4
Income before income taxes			9,393				14.3						13,449				43.2
Net income attributable to Makita Corporation			6,045				14.3						9,456				56.4
Comprehensive income (loss)			(10,476	)			—						7,616				—
			Yen
Earning per share (Basic)
Net income attributable to Makita Corporation common shareholders			43.88										68.64

Notes:

1.

Amounts of less than one million yen have been rounded.

2.

The table above shows the changes in the percentage ratio of net sales, operating income, income before income taxes, and net income attributable to Makita Corporation against the corresponding period of the previous year.

(2) SELECTED CONSOLIDATED FINANCIAL POSITION

		Yen (millions)
		As of March 31, 2011						As of June 30, 2011
Total assets			372,507						370,119
Total equity			309,678						310,267
Total Makita Corporation shareholders’ equity			307,149						307,655
Total Makita Corporation shareholders’ equity ratio to total assets (%)			82.5%						83.1%
		Yen
Total Makita Corporation shareholders’ equity per share			2,229.63						2,233.31
2. Dividend Information
		Yen
		For the year ended March 31, 2011						For the year ending March 31, 2012 (Forecast)
Cash dividend per share:
Interim			15.00						15.00
Year-end			51.00						(Note	)
Total			66.00						(Note	)

Notes:

The forecast for cash dividend announced on April 28, 2011 has not been revised.

 

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English translation of “KESSAN TANSHIN” originally issued in Japanese

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3. Consolidated Financial Performance Forecast for the year ending March 31, 2012 (From April 1, 2011 to March 31, 2012)

		Yen (millions)
		For the six months ending September 30, 2011								For the year ending March 31, 2012
						%								%
Net sales			150,000				12.1				285,000				4.5
Operating income			25,500				16.7				45,000				7.4
Income before income taxes			25,900				19.1				45,800				7.2
Net income attributable to Makita Corporation			18,200				20.4				31,900				6.7
		Yen
Earning per share (Basic)
Net income attributable to Makita Corporation common shareholders			132.12								231.57

Notes:

The consolidated financial forecast for the six months ending September 30, 2011 has been revised.

4. Other

    (Refer to [Qualitative Information and Financial Statements] Section 4 “Other” on page 4.)

(1)	Changes in important subsidiaries during the period (Changes in specified subsidiaries accompanied by changes in scope of consolidation during the quarter): None

 

(2)	Adoption of simplified accounting methods and accounting methods that are specific to the preparation of quarterly consolidated financial statements: Yes

 

(3)	Changes in accounting principles, procedures and presentations: None

 

(4)	Number of shares outstanding (common stock)

 

Information regarding quarterly review

This consolidated financial results is not subject to a quarterly review stipulated under the Financial Instruments and Exchange Act. As of the release date of this document, the quarterly review under the Financial Instruments and Exchange Act has not been completed.

Explanation regarding proper use of business forecasts, and other significant matters

The consolidated financial forecast for the six months ending September 30, 2011 has been revised. Regarding the assumptions for the forecasts and other matters, refer to [Qualitative Information and Financial Statements] Section 3 “Qualitative information on consolidated financial performance forecast” on page 4. The financial forecasts given above are based on information as available at the present time, and include potential risks and uncertainties. As a consequence of the factors above and other, actual results may vary from the forecasts provided above.

 

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English translation of “KESSAN TANSHIN” originally issued in Japanese

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[Qualitative Information and Financial Statements]

1. Qualitative Information on Consolidated Operating Results

During the three months (the “period”) ended June 30, 2011, economic conditions have shown a steady recovery trend in Europe, especially in Germany and the U.K., led primarily by external demand. Russian economy has also recovered smoothly thanks to a rise in crude oil prices. In the United States, economic recovery has decelerated due to a slowdown in consumer spending and capital investment. In Japan, business outlook remains uncertain because the Great Eastern Japan Earthquake on March 11 inflicted serious damage on economic activities and aroused concern over the possibility of an instable electricity supply during the summer. Meanwhile, emerging countries in Asia and Central and South America have enjoyed continued economic growth owing to robust capital investment and consumer spending.

Our consolidated net sales for this period increased by 17.4% to 76,078 million yen compared to the same period of the previous year. This was because the global demand for power tools remained strong, although the yen’s appreciation against other major currencies, especially the US dollar, resulted in a decline in sales. As for incomes, due to favorable sales results, operating income increased by 28.4% to 13,011 million yen (operating income ratio: 17.1%), income before income taxes increased by 43.2% to 13,449 million yen (income before income taxes ratio: 17.7%), and net income attributable to Makita Corporation increased by 56.4% to 9,456 million yen (net income attributable to Makita Corporation ratio: 12.4%), each compared to the same period of the previous year.

Net sales by region are as follows:

Net sales in Japan increased by 14.8% to 11,708 million yen compared to the same period of the previous year due to an increase in demands associated with post-quake reconstruction efforts.

Net sales in Europe increased by 18.3% to 32,665 million yen compared to the same period of the previous year as steady demands continued in Russia and certain developed countries such as Germany and the U.K..

Net sales in North America increased by 6.4% to 9,816 million yen compared to the same period of the previous year due to strong demands for rechargeable tools mounted with lithium-ion battery, although demand in the U.S. housing market was sluggish.

Net sales in Asia increased by 36.4% to 7,249 million yen compared to the same period of the previous year thanks to robust demands in Southeast Asian countries.

Net sales in the Middle East and Africa decreased by 8.5% to 3,833 million yen compared to the same period of the previous year because of the influences of political instabilities in some areas in these regions. However, net sales in Central and South America increased by 38.9% to 6,073 million yen and net sales in Oceania increased by 21.5% to 4,734 million yen compared to the same period of the previous year. These last two regions have shown a substantial increase in sales because their economies have been in good condition against the backdrop of rising resource prices.

2. Qualitative Information on Consolidated Financial Position

(Analysis on assets, liabilities and shareholders’ equity)

Total assets as of June 30, 2011, decreased by 2,388 million yen to 370,119 million yen compared to the balance as of March 31, 2011. The main reason for this decrease was the sale of marketable securities to pay dividends and a decrease in time deposits, although inventories increased.

Total liabilities as of June 30, 2011, decreased by 2,977 million yen to 59,852 million yen compared to the balance as of March 31, 2011. The main reason for this decrease was that accrued payroll, income taxes payable and trade notes and accounts payable decreased, while short-term borrowings increased.

Total equity as of June 30, 2011, increased by 589 million yen to 310,267 million yen compared to the balance as of March 31, 2011.

 

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English translation of “KESSAN TANSHIN” originally issued in Japanese

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3. Qualitative Information on Consolidated Financial Performance Forecast

The evaluation of yen against major currencies seems to remain higher than our forecast that was announced on April 28, 2011. However, owing to the recovery of global demands for power tools, the sales have been strong. In these situations, our forecast consolidated performance for the six months ending September 30, 2011, which were announced on April 28, 2011, were revised as shown on this document.

However, the forecast consolidated performance for the year ending March 31, 2012 remain unchanged from the last announcement (as of April 28, 2011), because both the exchanging ratio trends and the demands trends are unclear.

Revised Forecast for Consolidated Performance for the six months ending September 30, 2011 (from April 1, 2011 to September 30, 2011)

		Yen (millions)																Yen
		Net sales				Operating income				Income before income taxes				Net income attributable to Makita Corporation				Earning per share (Basic) Net income attributable to Makita Corporation common shareholders
Outlook announced previously (A)			141,900				23,000				23,400				16,400				119.05
Revised forecast (B)			150,000				25,500				25,900				18,200				132.12
Change (B-A)			8,100				2,500				2,500				1,800				—
Percentage revision			5.7	%			10.9	%			10.7	%			11.0	%			—
Actual results for the previous period ended September 30, 2010			133,807				21,843				21,751				15,122				109.77

The above forecast is based on the assumption of exchange rates of 79 yen to the U.S. dollar and 111 yen to the euro for the three months period ending September 30, 2011.

(Reference) Our previous exchange rates that we announced on April 28, 2011 were 83 yen to the U.S. dollar and 118 yen to the euro.

The above forecast is based on information as available at the present time, and includes potential risks and uncertainties. As a consequence of the factors above and other, actual results may vary from the forecast provided above.

4. Other

(1)	Changes in important subsidiaries during the period (Changes in specified subsidiaries accompanied by changes in scope of consolidation during the quarter): None

 

(2)	Adoption of simplified accounting methods and accounting methods that are specific to the preparation of quarterly consolidated financial statements:

With regard to the income tax expenses, the Company computes interim income tax expense by multiplying reasonably estimated annual effective tax rate, which includes the effects of deferred taxes, by year-to-date income before income taxes for the reporting period.

 

(3)	Changes in accounting principles, procedures and presentations: None

 

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English translation of “KESSAN TANSHIN” originally issued in Japanese

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5. Consolidated Financial Statements (Unaudited)

(1) Consolidated Balance Sheets

		Yen (millions)
		As of March 31, 2011								As of June 30, 2011
		Composition ratio								Composition ratio
ASSETS
CURRENT ASSETS:
Cash and cash equivalents			51,833								53,343
Time deposits			15,719								10,210
Short-term investments			33,555								24,471
Trade receivables-
Notes			1,914								2,000
Accounts			46,785								48,258
Less- Allowance for doubtful receivables			(935	)							(943	)
Inventories			110,595								118,699
Deferred income taxes			6,039								5,383
Prepaid expenses and other current assets			9,990								10,726
Total current assets			275,495				74.0%				272,147				73.5%
PROPERTY, PLANT AND EQUIPMENT, at cost:
Land			20,065								20,117
Buildings and improvements			72,201								72,545
Machinery and equipment			73,195								73,616
Construction in progress			1,369								1,914
			166,830								168,192
Less- Accumulated depreciation			(94,792	)							(95,751	)
Total net property, plant and equipment			72,038				19.3%				72,441				19.6%
INVESTMENTS AND OTHER ASSETS:
Investments			17,069								17,657
Goodwill			721								721
Other intangible assets, net			4,595								4,559
Deferred income taxes			1,403								1,157
Other assets			1,186								1,437
Total investments and other assets			24,974				6.7%				25,531				6.9%
Total assets			372,507				100.0%				370,119				100.0%

 

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English translation of “KESSAN TANSHIN” originally issued in Japanese

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		Yen (millions)
		As of March 31, 2011												As of June 30, 2011
		Composition ratio												Composition ratio
LIABILITIES
CURRENT LIABILITIES:
Short-term borrowings							868												2,710
Trade notes and accounts payable							25,691												24,532
Other payables							4,386												4,784
Accrued expenses							6,125												5,647
Accrued payroll							7,543												5,878
Income taxes payable							4,317												2,997
Deferred income taxes							112												196
Other current liabilities							7,183												6,600
Total current liabilities							56,225				15.1%								53,344				14.4%
LONG-TERM LIABILITIES:
Long-term indebtedness							19												16
Accrued retirement and termination benefits							3,128												3,029
Deferred income taxes							746												740
Other liabilities							2,711												2,723
Total long-term liabilities							6,604				1.8%								6,508				1.8%
Total liabilities							62,829				16.9%								59,852				16.2%
EQUITY
MAKITA CORPORATION SHAREHOLDERS’
EQUITY:
Common stock							23,805												23,805
Additional paid-in capital							45,420												45,420
Legal reserve							5,669												5,669
Retained earnings							293,532												295,963
Accumulated other comprehensive income (loss)							(54,824	)											(56,747	)
Treasury stock, at cost							(6,453	)											(6,455	)
Total Makita Corporation shareholders’ equity							307,149				82.5%								307,655				83.1%
NONCONTROLLING INTEREST							2,529				0.6%								2,612				0.7%
Total equity							309,678				83.1%								310,267				83.8%
Total liabilities and equity							372,507				100.0%								370,119				100.0%

 

		As of March 31, 2011				As of June 30, 2011
Total number of shares authorized			496,000,000				496,000,000
Number of shares issued			140,008,760				140,008,760
Number of shares issued (excluding treasury stock)			137,757,699				137,757,154
Number of treasury stock			2,251,061				2,251,606

 

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English translation of “KESSAN TANSHIN” originally issued in Japanese

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(2) Consolidated Statements of Income

 

		Yen (millions)
		For the three months ended June 30, 2010								For the three months ended June 30, 2011
		Composition ratio								Composition ratio
NET SALES			64,822				100.0%				76,078				100.0%
Cost of sales			39,290				60.6%				45,922				60.4%
GROSS PROFIT			25,532				39.4%				30,156				39.6%
Selling, general, administrative and others, net			15,396				23.8%				17,145				22.5%
OPERATING INCOME			10,136				15.6%				13,011				17.1%
OTHER INCOME (EXPENSES):
Interest and dividend income			395								436
Interest expense			(8	)							(21	)
Exchange gains (losses) on foreign currency transactions, net			(1,220	)							64
Realized gains (losses) on securities, net			90								(41	)
Total			(743	)			(1.1)%				438				0.6%
INCOME BEFORE INCOME TAXES			9,393				14.5%				13,449				17.7%
PROVISION FOR INCOME TAXES:
Current			2,362								2,850
Deferred			886								1,039
Total			3,248				5.0%				3,889				5.1%
NET INCOME			6,145				9.5%				9,560				12.6%
Less: Net income attributable to the noncontrolling interest			(100	)			(0.2)%				(104	)			(0.2)%
NET INCOME ATTRIBUTABLE TO MAKITA CORPORATION			6,045				9.3%				9,456				12.4%

 

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English translation of “KESSAN TANSHIN” originally issued in Japanese

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(3) Consolidated Statements of Changes in Equity & Comprehensive Income (Loss)

Yen (millions)

		For the three months ended June 30, 2010
		Makita Corporation shareholders’ equity																																Comprehensive income (Loss)
		Common stock				Additional paid-in capital				Legal reserve				Retained earnings				Accumulated other comprehensive income (loss)				Treasury stock				Non- controlling interest				Total				Net income attributable to Makita Corporation				Net income attributable to the non- controlling interest				Total
Beginning balance			23,805				45,420				5,669				270,790				(42,032	)			(6,445	)			2,466				299,673
Purchases and disposal of treasury stock, net																							—								—
Cash dividends															(5,097	)															(5,097	)
Comprehensive income (loss)
Net income															6,045												100				6,145				6,045				100				6,145
Foreign currency translation adjustment																			(15,004	)							(328	)			(15,332	)			(15,004	)			(328	)			(15,332	)
Unrealized holding gains (losses) on available-for- sale securities																			(1,323	)											(1,323	)			(1,323	)							(1,323	)
Pension liability adjustment																			34												34				34								34
Total comprehensive income (loss)																																			(10,248	)			(228	)			(10,476	)
Ending balance			23,805				45,420				5,669				271,738				(58,325	)			(6,445	)			2,238				284,100

 

Yen (millions)
		For the three months ended June 30, 2011
		Makita Corporation shareholders’ equity																																Comprehensive income (Loss)
		Common stock				Additional paid-in capital				Legal reserve				Retained earnings				Accumulated other comprehensive income (loss)				Treasury stock				Non- controlling interest				Total				Net income attributable to Makita Corporation				Net income attributable to the non- controlling interest				Total
Beginning balance			23,805				45,420				5,669				293,532				(54,824	)			(6,453	)			2,529				309,678
Purchases and disposal of treasury stock, net																							(2	)							(2	)
Cash dividends															(7,025	)															(7,025	)
Comprehensive income (loss)
Net income															9,456												104				9,560				9,456				104				9,560
Foreign currency translation adjustment																			(1,804	)							(21	)			(1,825	)			(1,804	)			(21	)			(1,825	)
Unrealized holding gains (losses) on available-for-sale securities																			(152	)											(152	)			(152	)							(152	)
Pension liability adjustment																			33												33				33								33
Total comprehensive income (loss)																																			7,533				83				7,616
Ending balance			23,805				45,420				5,669				295,963				(56,747	)			(6,455	)			2,612				310,267

 

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English translation of “KESSAN TANSHIN” originally issued in Japanese

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(4) Condensed Consolidated Statements of Cash Flows

		Yen (millions)
		For the three months ended June 30, 2010						For the three months ended June 30, 2011
Net cash provided by (used in) operating activities			4,138						(4,277	)
Net cash provided by (used in) investing activities			(4,652	)					11,208
Net cash used in financing activities			(5,173	)					(4,592	)
Effect of exchange rate changes on cash and cash equivalents			(2,178	)					(829	)
Net change in cash and cash equivalents			(7,865	)					1,510
Cash and cash equivalents, beginning of period			62,290						51,833
Cash and cash equivalents, end of period			54,425						53,343

(5) Note on the preconditions for a going concern: None

(6) Condensed Operating Segment Information

 

		Yen (millions)
		For the three months ended June 30, 2010
		Japan				Europe				North America				Asia				Other				Total				Elimi- nations				Consoli- dated
Sales:
(1) External customers			13,984				27,548				9,244				2,957				11,089				64,822				—				64,822
(2) Inter-segment			10,626				710				635				22,428				21				34,420				(34,420	)			—
Total			24,610				28,258				9,879				25,385				11,110				99,242				(34,240	)			64,822
Operating expenses			23,552				24,600				9,305				22,109				9,502				89,068				(34,382	)			54,686
Operating income			1,058				3,658				574				3,276				1,608				10,174				(38	)			10,136

 

		Yen (millions)
		For the three months ended June 30, 2011
		Japan				Europe				North America				Asia				Other				Total				Elimi- nations				Consoli- dated
Sales:
(1) External customers			16,507				32,601				9,977				3,728				13,265				76,078				—				76,078
(2) Inter-segment			13,664				786				905				30,263				228				45,846				(45,846	)			—
Total			30,171				33,387				10,882				33,991				13,493				121,924				(45,846	)			76,078
Operating expenses			26,259				29,535				10,208				30,099				11,540				107,641				(44,574	)			63,067
Operating income			3,912				3,852				674				3,892				1,953				14,283				(1,272	)			13,011

(7) Note in case there is any significant change in the shareholders’ equity: None

 

 

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English translation of “KESSAN TANSHIN” originally issued in Japanese

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SUPPORT DOCUMENTATION (CONSOLIDATED)

1. Consolidated Financial Results and Forecast

										Yen (millions)
										For the three months ended  June 30, 2010								For the three months ended June 30, 2011
											(%)								(%)
Net sales											64,822				17.0				76,078				17.4
Domestic											10,201				3.0				11,708				14.8
Overseas											54,621				20.1				64,370				17.8
Operating income											10,136				52.7				13,011				28.4
Income before income taxes											9,393				14.3				13,449				43.2
Net income attributable to Makita Corporation											6,045				14.3				9,456				56.4
Earning per share (Basic)
Net income attributable to Makita Corporation common shareholders (Yen)											43.88								68.64
Number of employees											10,549								11,856
		Yen (millions)
		For the year ended March 31, 2011								For the six months ending September 30, 2011 (Forecast)								For the year ending March 31, 2012 (Forecast)
			(%)								(%)								(%)
Net sales			272,630				10.9				150,000				12.1				285,000				4.5
Domestic			46,065				7.9				24,300				9.5				45,500				(1.2	)
Overseas			226,565				11.5				125,700				12.6				239,500				5.7
Operating income			41,909				37.9				25,500				16.7				45,000				7.4
Income before income taxes			42,730				27.5				25,900				19.1				45,800				7.2
Net income attributable to Makita Corporation			29,905				34.4				18,200				20.4				31,900				6.7
Earning per share (Basic)
Net income attributable to Makita Corporation common shareholders (Yen)			217.08								132.12								231.57
Number of employees			12,054								—								—

Notes:

1.	The table above shows the changes in the percentage ratio of Net sales, Operating income, Income before income taxes, and Net income attributable to Makita Corporation against the corresponding period of the previous year.

2.	Please refer to page 4 for the qualitative information on consolidated financial forecast for the six months and fiscal year 2012.

 

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English translation of “KESSAN TANSHIN” originally issued in Japanese

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2. Consolidated Net Sales by Geographic Area

		Yen (millions)
		For the three months ended June 30, 2010								For the three months ended June 30, 2011								For the year ended March  31, 2011
		(%)								(%)								(%)
Japan			10,201				3.0				11,708				14.8				46,065				7.9
Europe			27,620				13.8				32,665				18.3				115,977				6.3
North America			9,228				19.8				9,816				6.4				37,111				7.5
Asia			5,315				27.3				7,249				36.4				23,073				25.6
Other regions			12,458				33.4				14,640				17.5				50,404				22.5
Central and South America			4,371				34.9				6,073				38.9				20,295				33.3
Oceania			3,897				29.2				4,734				21.5				15,383				17.3
The Middle East and Africa			4,190				36.0				3,833				(8.5	)			14,726				15.1
Total			64,822				17.0				76,078				17.4				272,630				10.9

Note:

The table above sets forth Makita’s consolidated net sales by geographic area based on the customer’s location for the periods presented. Accordingly, it differs from operating segment information on page 9. The table above shows the changes in the percentage ratio of Net sales against the corresponding period of the previous year.

3. Exchange Rates

		Yen
		For the three months ended June 30, 2010				For the three months ended June 30, 2011				For the year ended     March 31, 2011				For the six months ending    September 30, 2011 (Forecast)
Yen/U.S. Dollar		92.01				81.71				85.73				80
Yen/Euro		117.03				117.38				113.12				114
4. Production Ratio (unit basis)
						For the three months ended June 30, 2010				For the three months ended June 30, 2011				For the year ended    March 31, 2011
						Composition ratio				Composition ratio				Composition ratio
Domestic						16.1%				12.9%				14.5%
Overseas						83.9%				87.1%				85.5%
5. Consolidated Capital Expenditures, Depreciation and Amortization, and R&D cost
		Yen (millions)
		For the three months ended June 30, 2010				For the three months ended June 30, 2011				For the year ended March 31, 2011				For the year ending    March 31, 2012 (Forecast)
Capital expenditures		2,506				2,530				9,742				17,000
Depreciation and amortization		1,806				1,715				7,557				8,500
R&D cost		1,738				1,935				7,283				8,200

 

		11
English translation of “KESSAN TANSHIN” originally issued in Japanese