Nissan Motor Co., Ltd. has reported its financial results for the first quarter ending June 30, 2024, showing mixed performance amid challenging market conditions. The company’s consolidated net revenue reached ¥2.998 trillion, with a consolidated operating profit of ¥1.0 billion and net income of ¥28.6 billion. Despite maintaining global sales at 787,000 units, profitability was adversely affected by increased sales incentives and marketing expenses necessary to compete in the U.S. market.
The financial highlights for Q1 FY2024 include a slight revenue increase from ¥2.917 trillion in Q1 FY2023 to ¥2.998 trillion. However, operating profit plummeted from ¥128.6 billion to ¥1.0 billion, reflecting intense sales competition and the need for inventory optimization. The operating margin dropped to 0%, down from 4.4% the previous year.
Looking forward, Nissan has adjusted its full-year fiscal outlook. The company now projects net revenue of ¥14.0 trillion, an increase from the previous estimate of ¥13.6 trillion, but expects operating profit to decrease to ¥500 billion, down from ¥600 billion. The net income forecast has also been revised downward to ¥300 billion from ¥380 billion.
Nissan aims to boost sales and profitability in the second half of the fiscal year through the introduction of new and refreshed models, coupled with stringent fixed cost discipline. The company remains focused on improving its market position and achieving its revised financial targets despite the competitive landscape.
