. Nissan Revenue Up 12.1%, Operating Profit Up 2%
in FY05 First Half
Net Income Down 3.4% Due
to One-Time Charges
TOKYO, Japan - Nissan Motor
Co., Ltd., today announced financial results for the first half of the
fiscal year ending March 31, 2006, as well as second-quarter performance.
In the six months through September, net income after tax totalled 230.7
billion yen (US $2.11 billion, euro 1.69 billion), down 3.4% compared with
the same period last year due to one-time charges in the first quarter.
The charges related to a change in Japanese accounting standards for the
treatment of fixed assets and the introduction of Nissan's defined
contribution pension plan.
Net revenues amounted to
4.491 trillion yen (US $41.01 billion, euro 32.95 billion) in the
April-to-September period, up 12.1% compared with a year ago. Operating
profit totalled 411.5 billion yen (US $3.76 billion, euro 3.02 billion),
up 2.0%, while Nissan's operating profit margin came to 9.2%. Ordinary
profit amounted to 395.6 billion yen (US $3.61 billion, euro 2.90
billion), down 1.4%.
"Despite the severe
business environment, Nissan's fundamentals continue to strengthen thanks
to appealing products and a competitive cost structure," said Nissan
President and CEO Carlos Ghosn. "Taking into account the risks and
opportunities, we see no compelling reason to change our initial financial
forecasts for the full fiscal year," he added.
In the first half, Nissan
sold a total of 1,834,000 vehicles worldwide, up 15% compared with last
year. Nissan released two all-new models in Japan during the period - the
Serena minivan and the Otti minicar - and plans to launch three additional
new models in Japan and one in Europe in the second half.
In the July-to-September
quarter, Nissan's net income totalled 125.0 billion yen (US $1.14 billion,
euro 0.92 billion), an increase of 8.1%. Net revenues amounted to 2.346
trillion yen (US $21.43 billion, euro 17.21 billion), up 11.5% compared
with a year ago. Operating profit totalled 205.2 billion yen (US $1.87
billion, euro 1.51 billion), down 5.5%, while Nissan's operating profit
margin came to 8.7%. Ordinary profit amounted to 184.8 billion yen (US
$1.69 billion, euro 1.36 billion), down 16.7%.
Nissan sold a total of
955,000 vehicles worldwide in the second quarter, up 15.6% compared with
the prior year.
Notes: Amounts in dollars and
euros are translated for the convenience of the reader only at the foreign
exchange rates of 109.5 yen/dollar and 136.3 yen/euro, the average rates
for the first half of the fiscal year ending March 31, 2006.
