Nissan sees profit rise but anticipates continuation of ‘harsh’ business environment
Nissan said that it expects 38 per cent rise in operating profits this year, as it continues a strong resurgence from the lows of the global semiconductor shortage and China shutdown.
The Japanese automaker beat analysts expectations, raising profit expectations for the coming year to 520bn yen (£3.07bn) on the back of a stronger sales forecast, in its 2022 full year results announcement this morning.
CEO Makoto Uchida said that although the business environment in 2023 is “expected to become even more challenging,” the company is aiming to “improve profitability through the product competitiveness and profit structure that we have strengthened through our business transformation.”
He added: “We will also formulate a midterm plan to transform Nissan into a truly healthy and resilient company, aiming to achieve both sustainable growth and financial stability.”
Today’s results come after the business saw profits tumble in 2022, as supply chain disruptions resulting in a global shortage of semiconductors, as well as the continuing shutdown of China, pummelled the automotive sector.
Nissan reported consolidated net revenue at 10.6 trn yen (£59.04bn), resulting in an operating profit of 377.1bn (£2.23bn) in 2022.
The company said global sales volume were at 3,305,000 for the year.
It said that it anticipates the “harsh” business environment to continue due to ongoing high energy costs, inflation and geopolitical uncertainty, but remains positive in its outlook.