Nissan Motor Corp. reported a net profit of 3.8 billion yen for the January-March quarter, reversing a 115.8 billion yen loss a year earlier, but warned that challenges in the Middle East and China are weighing on its outlook. Quarterly sales rose 9.5% to 2.96 trillion yen, helped by cost cuts and improved performance in the U.S. and Japan. Chief Executive Ivan Espinosa said production lines were partially stalled due to the magnitude 7.1 earthquake that struck Kumamoto, southwestern Japan, last week, with the disruption expected to last until Wednesday and affect 5,000 vehicles. The company lowered its annual sales forecast to 3.15 million vehicles, down from an earlier projection of 3.3 million units, largely because of fierce competition from Chinese electric-vehicle makers. Nissan maintained its full-year profit forecast of 20 billion yen on sales of 13 trillion yen.
Nissan Motor Co., Ltd.Nissan lowered annual sales forecast due to fierce competition from Chinese EV makers, indicating weaker demand for its vehicles.