Nissan quarterly operating profit rises 3%, annual net doubles

Nissan Motor Co. reported a substantial increase in their full-year net profit for the fiscal year 2023-24, with a 92.3 percent rise to 426.6 billion yen ($2.7 billion). This surge was attributed to heightened demand in its home market of Japan, as well as in North America, Europe, and China. Despite this, Nissan anticipates a 10 percent decrease in net profit for the 2024-25 fiscal year, forecasting a net profit of 380 billion yen.

For the fourth quarter, the company posted an operating profit of 90.3 billion yen ($579.59 million), which marks a 3 percent increase but falls short of the average estimate of 118.2 billion yen predicted by analysts surveyed by LSEG. Nissan's operating income for the year rose by more than 50 percent, bolstered by increased sales volumes, improved net sales per unit, and stringent management of fixed costs.

Looking ahead, the Yokohama-based automaker expects to face challenges in the form of intense competition and inflationary pressures. Nissan CEO Makoto Uchida also highlighted the potential difficulties posed by volatility in foreign exchange markets. Despite the headwinds, the company remains focused on meeting the demands of its customers, particularly in China, and on reducing production costs for next-generation electric vehicles by 30 percent.