Nissan Slashes Earnings Projections for FY 2019

Economy

Yokohama, Feb. 13 (Jiji Press)--Nissan Motor Co. <7201> sharply lowered Thursday its group sales and profit projections for the year ending in March, due chiefly to sluggish sales in such key markets as North America and China, which have yet to see new model launches.

This is the second time for Nissan to revise down its earnings forecasts for the current business year, after it did so in November.

The major Japanese automaker now estimates an operating profit of 85 billion yen, down from the previous projection of 150 billion yen. Compared with the year-before result, the profit figure is 73.3 pct smaller. Its net profit forecast was lowered from 110 billion yen to 65 billion yen, down 79.6 pct from the preceding year, on newly estimated sales of 10.2 trillion yen, down by 400 billion yen from the November forecast and by 11.9 pct year on year.

The new estimates do not reflect possible effects of the ongoing novel coronavirus outbreak, the company said.

The automaker also lowered its global vehicle sales target from 5.24 million units to 5.05 million units, in view of the sales' 16-month losing streak to December.

[Copyright The Jiji Press, Ltd.]

Jiji Press