Nissan reports April-June results for fiscal year 2024
Nissan Motor Co., Ltd. today announced financial results for the three months ended June 30, 2024.
In the first quarter of the fiscal year, consolidated net revenue was 2.998 trillion yen, consolidated operating profit was 1.0 billion yen, and net income1 was 28.6 billion yen.
While global sales remained even compared to the same period of the previous year at 787,000 units, profit was impacted by increased sales incentives and marketing expenses to meet intense sales competition and optimize inventory, particularly in the U.S.
First-quarter financial highlights
The following table summarizes Nissan’s financial results for the three months ended June 30, 2024, calculated under the equity accounting method for the group’s China joint venture.
TSE report basis – China JV equity basis2
| Yen in billions | FY 23 Q1 | FY 24 Q1 | Variance vs FY23 |
| Revenue | 2,917.7 | 2,998.4 | +80.7 |
| Operating profit | 128.6 | 1.0 | -127.6 |
| Operating margin | 4.4% | 0.0% | -4.4 points |
| Ordinary profit | 166.6 | 65.1 | -101.5 |
| Net income1 | 105.5 | 28.6 | -76.9 |
Based on average foreign exchange rates of JPY 156/USD and JPY 168/EUR for FY24 Q1
FY2024 outlook
In the first half of this fiscal year, Nissan expects to continue the inventory optimization and sales and profits are expected to improve in the second half thanks to launches of new models and refreshed volume models.
Therefore, Nissan has revised its full-year outlook as follows: Retail sales of 3.65 million units, production of 3.45 million units, net revenue of 14.0 trillion yen, operating profit of 500 billion yen, and net income1 of 300 billion yen.
The company has filed the following fiscal-year outlook with the Tokyo Stock Exchange. Calculated under the equity accounting method for Nissan’s joint venture in China, the forecasts for the fiscal year ending March 31, 2025, are:
TSE report basis – China JV equity basis2
| Yen in billions | Previous FY24 outlook | Revised FY24 outlook | Variance vs previous outlook |
| Net revenue | 13,600.0 | 14,000.0 | +400 |
| Operating profit | 600.0 | 500.0 | -100.0 |
| Net income1 | 380.0 | 300.0 | -80.0 |
The assumption of the foreign exchange rate for the full-year average has been changed from 145 yen per U.S. dollar and 157 yen per euro to 155 yen per U.S. dollar and 167 yen per euro.
Commenting on the results, Nissan president and CEO Makoto Uchida said: “Our first quarter results were very challenging. The reasons are clear, and we have implemented measures to recover our performance. First, we are optimizing the inventory buildup in the U.S. market and bring VME efficiency with a focus on quality of sales. Then, from the second half we aim to maximize sales of new and refreshed models to achieve the revised forecast of sales volume and profit.”
1 Net income attributable to owners of the parent
2 Since the beginning of fiscal year 2013, Nissan has reported figures calculated under the equity method accounting for its joint venture with Dong Feng in China. Although net income reporting remains unchanged under this accounting method, the equity-accounting income statements no longer include Dong Feng-Nissan’s results in revenue and operating profit.
*The financial forecast is based on judgements and estimates that have been made using currently available information. By nature, such financial forecast is subject to uncertainty and risk. Therefore, the final results may differ from the aforementioned forecast.
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