Nissan's Operating Profit Dives 98.5 Pct in April-June

Economy

Tokyo, July 25 (Jiji Press)--Nissan Motor Co. <7201> said Thursday that its consolidated operating profit in April-June tumbled 98.5 pct from a year before to 1,609 million yen.

The major Japanese automaker's net profit in the first quarter of the current business year stood at 6,377 million yen, down 94.5 pct. Sales were down 12.7 pct at 2,372,422 million yen.

Meanwhile, Nissan kept unchanged its consolidated projections for the full year to March 2020, putting sales at 11.3 trillion yen, down 2.4 pct from the previous year, operating profit at 230 billion yen, down 27.7 pct, and net profit at 170 billion yen, down 46.7 pct.

The April-June earnings slump reflected falls in sales in the United States and Europe, both key markets for Nissan. The company's global automobile sales in the three months decreased 6.0 pct to 1,231,000 units.

Nissan is set to shed a total of 12,500 jobs at 14 of its bases around the world by fiscal 2022 as part of its turnaround steps. The size of the global workforce reduction is bigger than the 4,800 announced in May.

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Jiji Press