Nissan returns to quarterly profit today and lifts its outlook

Article by Christian A., 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

Recommended

Are you a big fan of legendary boxer Mike Tyson, the former heavyweight world champion? Or are you a big fan of the iconic Ferrari F50? Either way, you will...
by - February 24, 2017
It seems that AM-RB 001 hypercar is not the only vehicle project that Aston Martin and Red Bull Racing has gone into. This time, don’t expect something as outlandish as...
by - February 24, 2017
The year 2018 marks the golden anniversary of Subaru of America. Of course, the company will celebrate 50 years of being at the helm of the brand’s crusade in North...
by - February 24, 2017
During car crashes and accidents, there are times that its occupants can’t get out easily. There are times when the only way to get out of that situation is to...
by - February 23, 2017
Could this be a special version of Ferrari’s much acclaimed LaFerrari? No matter how we look at it, the patent images for this sports car from Ferrari indicate its striking...
by - February 23, 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