Connect with us

Hi, what are you looking for?

Capital Business
Capital Business
The firm posted an operating profit of 545.84 billion yen, up 1.6 percent on-year/FILE

Kenya

Nissan posts record sales, $4.28 bn net profit

The firm posted an operating profit of 545.84 billion yen, up 1.6 percent on-year/FILE

TOKYO, May 11 – Nissan on Friday posted a $4.28 billion full-year net profit and record sales as the Japanese automaker shrugged off the devastating impact of last year’s quake-tsunami disaster on production.

Japan’s second-biggest automaker said it earned 341.43 billion yen in the fiscal year to March, up 7.0 percent year-on-year, surpassing its forecast of 290 billion yen and bucking a national trend of falling auto profits.

The company said sales rose 7.2 percent to their highest-ever 9.41 trillion yen, even after 12 months that saw natural disasters and a high yen play havoc with many automakers’ operations.

The firm posted an operating profit of 545.84 billion yen, up 1.6 percent on-year.

For the current year, Nissan said it expects a net profit of 400 billion yen, operating profit of 700 billion yen on sales of 10.3 trillion yen.

“Nissan has delivered robust operating profits and record sales amid growing demand for our models, brands and technologies around the world,” Chief Executive Carlos Ghosn said in a statement.

“It is an even more encouraging performance given the headwinds created by natural disasters, an over-valued yen and uncertain global economic conditions.”

Nissan’s results stood in stark contrast to fellow Japanese auto titans Toyota and Honda whose full-year profits tumbled about 30.5 percent and 60.4 percent in the same period, respectively.

However, Nissan’s rivals are forecasting a swift recovery this year, as they leave behind a year that many Japanese firms would prefer to forget.

The first six months of 2011 were torrid for the nation’s manufacturers, with the lingering impact of the March earthquake-tsunami hamstringing production lines and electricity-saving measures squeezing capacity.

Advertisement. Scroll to continue reading.

Nissan, Toyota and Honda all slashed production and shuttered plants because of power shortages and a component supply crunch.

All Japanese exporters are battling the crippling effects of a sky-high yen, which makes their products more expensive overseas and erodes repatriated profits.

Flooding in Thailand that created a component shortage also proved a drag for firms with plants in the Southeast Asian nation.

Click to comment
Advertisement

More on Capital Business

Executive Lifestyle

NAIROBI, Kenya, Mar 12 – The country’s super wealthy individuals are increasing their holding of bonds, gold and cash, a new report by Knight...

Ask Kirubi

NAIROBI, Kenya, Mar 9 – Businessman and industrialist Dr. Chris Kirubi has urged members of the public to exercise extreme caution when making any...

Ask Kirubi

NAIROBI, Kenya, Mar 24 – Businessman and industrialist Dr. Chris Kirubi is set to own half of Centum Investment Company PLC, following a go-ahead...

Ask Kirubi

It is without a doubt that the COVID-19 pandemic has caught the whole world by surprise. Although its full impact is yet to be...

Headlines

NAIROBI, Kenya, Mar 18 – Commercial Banks have been ordered to provide relief to borrowers on their personal loans, with loans eligible from March...

Kenya

NAIROBI, Kenya, Jun17 – Kenya’s tea leaves manufacturer Kericho Gold, has been awarded the Superbrands Seal by Superbrands East Africa for their quality variety...

Coronavirus

NAIROBI, Kenya, Apr 13 – As the local telecommunications industry gears up to roll out 5G networks in the country, the Communications Authority of...

Coronavirus

NAIROBI, Kenya, Mar 22 – Airtel Kenya is offering free internet access for students in order to enable continued learning at home in the...