Nissan Reports First Quarter Results for Fiscal Year 2018
Nissan Motor Co., Ltd. today announced financial results for the three-month period to June 30, 2018.
For the first quarter of the fiscal year, Nissan generated an operating profit of 109.1 billion yen on net revenues of 2.72 trillion yen, equivalent to an operating margin of 4.0%. Profitability in the period was largely impacted by rising raw material costs and foreign exchange movements. First quarter net income fell by 14.1% to 115.8 billion yen.
First Quarter Financial Highlights
The following table summarizes Nissan’s financial results for the three-month period to June 30, 2018, calculated under the equity accounting method for the group’s China joint venture.
(TSE report basis – China JV equity basis)
|Yen in billions||First Quarter FY 2017||First Quarter FY 2018||% change year on year|
|Operating margin %||5.6||4.0||-1.6 ppt|
On a management pro forma basis, which includes the proportionate consolidation of results from Nissan’s joint venture operation in China, operating profit was 154.4 billion yen, equivalent to an operating margin of 5.1%, and net income? reached 115.8 billion yen.
In the first quarter of fiscal year 2018, global unit sales dropped 3.0% to 1.31 million units.
In Japan, Nissan’s sales fell by 0.8% to 130,000 units. The total industry volume fell by 1.0% to 1.19 million units compared to the previous year resulting in Nissan’s market share remaining flat at 10.9%.
In China, where Nissan reports figures on a calendar-year basis, unit sales increased 6.9% to 336,000 units, representing a market share of 5.0%, up 0.3 percentage points from the comparable period in the prior year. This was driven by strong demand for models including the Kicks, X-Trail, Teana and Navara, as well as Venucia-brand models such as the D60.
In the U.S., Nissan’s sales totalled 365,000 units, equivalent to a market share of 8.1%.
Nissan sales in Europe, including Russia, fell by 12.7% to 162,000 units. Market share in Europe was 3.1%. Unit sales in Russia decreased 0.6% to 23,000 units, equivalent to a market share of 5.0%.
In other markets, including Asia and Oceania, Latin America, the Middle East and Africa, Nissan’s sales increased 6.6% to 200,000 units.
Fiscal Year 2018 Dividend
Nissan is targeting a 7.5% increase in the dividend per share to 57 yen for Fiscal 2018.