Nissan CEO expects profitability to improve this year

Article by Anita Panait, on February 24, 2014

Carlos Ghosn, chief executive of Nissan Motor Co., expects the carmaker’s profitability to improve this year after missing out on the yen-induced earnings windfall at Japanese exporters. "You can bet on the fact that 2014 is going to see an improvement compared to 2013," Ghosn said in an interview.

According to estimates of analysts surveyed by Bloomberg, Nissan will likely generate lower margins than its local rivals in the year ending March, while the weaker yen boost earnings at carmakers like Toyota Motor Corp. to record highs. That could be partly attributed to the fact that Nissan offered higher incentives in the United States than any Asian carmaker, causing its North American income to drop.

Ghosn doesn't expect high incentives to continue and for margins to rebound in the US.

"I can see profitability in the U.S. improving due to stabilization of our plants in North America because we have had a lot of expansion," Ghosn said. "When you reach the stabilization level, the level of profit moves up."

Ghosn remarked that Nissan will disclose additional management overhaul in mid-March as the Japanese carmaker tries to achieve a target raising its global market share to 8 percent as well as generating operating margins of 8 percent by March 2017 under a scheme call Power 88 plan.

Topics: nissan, ceo, profit

If you liked the article, share on:

Pin It

Comments

Recommended

Owning a supercar in the past meant you’ll have to compromise. But there’s no need for that anymore - thanks to the Ford Performance engineers. The company ensures that you...
by - March 30, 2017
Tesla marked a major milestone as it surpassed Ford in market capitalization. Automaker Tesla, formerly known as Tesla Motors, closed out the trading on March 27, 2017, with a market...
by - March 30, 2017
The mid-cycle facelift for the Mercedes-Benz's S-Class have been disclosed to the public eye via these leaked shots. The images that recently surfaced and others like it were published online...
by - March 30, 2017
Reddit user Jdubbswrx spotted a rather deceptive move coming from the German automotive manufacturer Audi. He posted an image of the supposed exhaust of the new 2018 Audi SQ5 sporting...
by - March 29, 2017
McLaren car owners will be thanking the automotive company as it has decided to roll out new goodies for the 540C, 570S and 570GT sports car line-up. From this series...
by - March 29, 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