Mazda reduces net loss in fiscal first quarter to JPY6.5 billion

Article by Anita Panait, on August 2, 2012

Mazda Motor Corp. managed to taper its net loss in its fiscal first quarter ended June 30, 2012 to JPY6.5 billion ($83 million) from JPY25.5 billion in the same period in the last fiscal year.  The company’s net loss for the period is lower than the JPY7.5 billion yen average estimate of five analysts surveyed by Bloomberg.

The carmaker expects to return to profitability for the fiscal year ending March 31, 2013, and is already making moves like selling assets, shifting some production outside Japan and concentrating on fuel-efficient models. The company’s new CX-5 crossover sport utility vehicle was a huge success, posting sales figures that are more than double its full-year target of 12,000 units as of July 1, 2012, just barely five months after it was launched.

According to Koichi Sugimoto, a Tokyo-based analyst at BNP Paribas SA, the good sales for the CX-5 have benefited from the government subsidies in Japan, making up for their decline in China and Europe. Mazda posted 6.5-percent increase in global sales in the quarter to 299,733 units. The carmaker particularly posted a 44-percent increase in sales in Japan, thanks to government subsidies on fuel-efficient cars.

Mazda posted a 6.8-percent increase in sales in the U.S. to 61,774 units, while logging a 12-percent and 1.4-percent drop in sales in China and Europe respectively.

Mazda has said it will increase the production of CX-5 to 240,000 units a year from 200,000 to cater to increasing demand. Mazda will commence producing the Mazda6 sedan, fitted with its Skyactiv fuel-saving technology, this month. The automaker is planning to unveil eight new vehicles, increasing the ratio of vehicles using Skyactiv to 80 percent by March 2016.

Topics: mazda, loss

If you liked the article, share on:

Comments

Recommended

We first heard of the fifth generation SEAT Ibiza earlier this year, and last week, the company finally revealed the all-new Ibiza at the international launch in Barcelona. The new...
by - May 22, 2017
The aftermath of the Takata airbag recall still largely resounds in the automotive industry, as big automotive companies like BMW, Mazda, Subaru and Toyota were extensively hit with what is...
by - May 22, 2017
Amid reports that major rival Volkswagen would cease producing 2016 and 2017 model year diesel cars following the wake of the "Dieselgate" scandal, it’s believed that Chevrolet sees its opportunity...
by - May 22, 2017
Honda recently whips out a new feature for the S660 Bruno Leather Edition. Any guesses? Well, it’s going to be an iPhone app that goes by the name Rev Beat....
by - May 22, 2017
And so it goes, Ford is not at all closing its doors to an all-electric F-150 pickup. The American manufacturer initially laid out its plans for an F-150 hybrid earlier...
by - May 22, 2017
Facebook

Youtube Channel

Tip Us
Do you have a tip for us?
Did you film an important event?
Contact us
Newsletter
Subscribe to our newsletter!
Subscribe
Galleries