By Kosaku Narioka
Nissan Motor is scheduled to report its second-quarter results on Thursday. Here is what you need to know:
NET PROFIT FORECAST: Nissan Motor’s net profit is expected to have risen sharply to 90.925 billion yen ($604.7 million) for the three months ended Sept. 30, according to a poll of analysts by Quick. That compares with a net profit of Y17.36 billion a year earlier, which was weighed on by one-off losses related to its exit from Russia.
REVENUE FORECAST: Second-quarter revenue is estimated to have increased 20% from a year earlier to Y3.035 trillion, according to the Quick poll.
WHAT TO WATCH:
–GUIDANCE: In July, Nissan raised its earnings forecasts, citing cost controls and a weaker yen, projecting that revenue would increase 19% to Y12.600 trillion and net profit would climb 53% to Y340.00 billion for the fiscal year ending March 2024. Investors are focusing on any changes to the annual guidance that management may make.
–MARGIN: First-quarter operating-profit margin improved to 4.4% from 3.0% a year earlier, due partly to price increases and cost controls. Investors are paying attention to any further improvement in margins as carmakers globally deal with high inflation, while shortages of chips and other parts have eased.
–CHINA: Nissan in July cut its fiscal-year sales forecast for China to 800,000 units from 1.13 million units and said it was aiming to shore up its China operations by introducing new electric-vehicle models. Investors are closely watching the carmaker’s views on the Chinese market and any fresh initiatives, as competition in that market has intensified.
Write to Kosaku Narioka at [email protected]
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