Nissan returns to quarterly profit today and lifts its outlook

Article by Christian Andrei, on August 26, 2010

Nissan Motor Co. may have reported a quarterly profit but it says that it will continue to be cautious. Nissan, which is Japan's third-largest automaker, lifted its outlook for the second time.

Sales plunged during the worst downturn in decades but now that there are signs of recovery, Nissan still warns of a shaky outlook for the global car market. Nissan, as well as Toyota Motor Corp. and Honda Motor Co., has raised annual forecasts.

This emphasizes the impact of government stimulus programs and the improvement in the global economy. At a news conference, Nissan's chief operating officer Toshiyuki Shiga said that the company will "take careful steps," adding that it's still too early to say that everything has recovered.

He clarified that the rise in demand leading to the increase in Nissan's October-December sales in "almost all markets" may not be self-sustained since he thinks it was due largely to car scrap incentives and other economic stimulus measures.

Shiga said further that removing a lid on spending to develop cars and rises in materials costs that reversed earlier falls, may hinder Nissan from keeping up the pace of its earnings recovery in the fourth quarter and the new business year starting in April.

He attributes the solid third-quarter results to a rise in sales volume and cost cuts but in the fourth quarter, the company doesn't expect the same results. Shiga asserted that the company will "raise back spending to seed growth for the future." [via autonews - sub. required]

Topics: nissan, profit

If you liked the article, share on:

Comments

Login or Create new account to add a comment!

Recommended

Your 2017 Volkswagen Golf Facelift could get as sporty looking as the Golf R with the new R-Line packages. But without the sporty run and the premium price. Set to...
by - January 17, 2017
Whether or not you’re a tech addict, you realize that the digital revolution is now moving at high speed. Before you know it, there’s already a new one on the...
by - January 17, 2017
We really couldn’t deny that quite a number of Audi customers and would-be-buyers are intently waiting for higher performance RS versions of the Audi A4 and A5. Of course, these...
by - January 17, 2017
The Chevrolet Cruze is coming to Australia. But it won’t be known as the Chevrolet Cruze. Instead, it will bear the Holden badge and get the Astra moniker. The 2017...
by - January 17, 2017
As expected, four years after the current generation of the BMW 4 Series was introduced in 2013 with the BMW 4 Series Coupe, the German premium carmaker is implementing a...
by - January 17, 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