Nissan profits continue to rise despite slow domestic sales April 25, 2006
Benefiting from strong overseas sales, Japanese auto firm Nissan Motor Company has reported consolidated net income of JPY518 billion ($4.6 billion) for fiscal 2006, up 1.1% on the previous year and a record for the sixth consecutive year.
“Nissan delivered a solid performance in fiscal 2005 despite the many challenges facing the global auto industry including higher raw material prices, higher energy costs, higher interest rates and higher incentives,” said Nissan president and CEO Carlos Ghosn. “Although we had few product introductions, we continued to grow our global sales driven by the attractiveness of our existing products and sound business fundamentals.”
Net revenues in for the year totaled JPY9.4 trillion ($83.2 billion), up 9.9% on 2005. Nissan sold a record 3,569,295 vehicles during the year. In the US, sales advanced 6.1% despite no new models to 1,075,097 units. In Japan, sales fell 0.7% to 842,062 units. In Europe, where sales are reported on a calendar-year basis, sales were down 0.6% to 540,945 units. Sales in general overseas markets, however, increased by 13%.
Commenting on the outlook for the current fiscal year, Mr Ghosn said 2006 would be a year of two distinct halves for Nissan, “In the first half, growth will be hard to achieve, but in the second half we have an intensive product launch offensive that will last through the remainder of Nissan Value-Up and beyond… Our second-generation products are especially attractive and competitive and I expect them to make significant contributions to our business development.”
Nissan will release a total of nine all-new models during fiscal 2006. Three will be launched in the US, including the all-new Altima, Sentra and Infiniti G35 sedans.
- Posted in : Uncategorized, Nissan
- Author : arnold
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