Mitsubishi Motors Corp. posted JPY41.7 billion ($396.3 million) in net profit in its fiscal third quarter ended Dec. 31, 2013, compared to JPY12.8 billion ($121.6 million) in losses a year earlier. The carmaker also posted a fourfold surge in operating profit in the quarter to JPY45.5 billion ($432.4 million) from JPY10.1 billion ($96.0 million) in the same period in 2012.
Mitsubishi also logged a 38-percent jump in global revenue to JPY589.7 billion ($5.70 billion) and a 13-percent rise in global unit sales to 277,000 vehicles in the three-month period. The turnaround was attributed to favorable currency rates and a restructuring program implemented by President Osamu Masuko.
Under a new three-year business plan Masuko unveiled in November 2013, Mitsubishi will refocus its lineup on utility vehicles and electrified drivetrains as well as intensify efforts on emerging markets with a goal of increasing its global sales by 34 percent to 1.43 million units.
The turnaround was also attributed to the continued depreciation of the yen against foreign currencies, including the US dollar and Thai baht. A weaker yen boosts the yen value of overseas earnings when sent back to Japan as well as render Japanese exports more competitive globally.
Mitsubishi logged a foreign exchange gain of JPY55.0 billion ($522.7 million) for the first nine months of its fiscal year. The carmaker’s global unit sales in its the first fiscal nine months surged 7 percent to 776,000 vehicles, with North America logging the fastest gains at 12 percent to 70,000 in the April-December period.