Yamaha Motor Co. may beat its profit forecasts if emerging markets hold up better than expected, according to Chief Executive Officer Hiroyuki Yanagi, speaking ahead of Wednesday's interest rate hike in the United States.
The motorcycle and boat manufacturer may achieve an operating profit margin of 10 percent in the next three years, exceeding the official 9 percent target, if emerging markets turn out to be more resilient, Yanagi said in an interview on Tuesday, after releasing the company's mid-term plan. Asian markets outside Japan were Yamaha's biggest contributor to revenue for the 2014 fiscal year.
The Federal Reserve's first interest rate increase since 2006 occurred Wednesday, marking what some economists expect will be the beginning of the end for the unprecedented era of easy monetary policy. The move could coincide with a commodity slump, causing the market for high-yield bonds to gyrate, sending tremors through financial condition indexes and spreading unease across trading desks.