Nissan today announced a downward revision to its February 12 forecasts for financial results for the full fiscal year ending March 31, 2019.
The revision takes into account:
- additional expenses arising from the implementation of a warranty extension campaign covering certain vehicles sold in the U.S. market;
- the adverse operating environment facing the company during the fourth quarter, and the impact of recent corporate issues on sales.
Revised forecast for fiscal year 2018
TSE report basis – China JV equity basis11
| Yen in billions | Previous FY18 Forecast | Revised FY18 Forecast | Change in forecast |
| Revenues | 11,600 | 11,574 | -26 (-0.2%) |
| Operating profit | 450 | 318 | 132 (-29.3%) |
| Operating margin % | 3.9% | 2.7% | -1.2 ppt |
| Net income2 | 410 | 319 | 91 (-22.2%) |
On a management pro forma basis, which includes the proportionate consolidation of results from Nissan’s joint venture operation in China, the company forecasts an operating profit of 493 billion yen, equivalent to an operating margin of 3.8%, with net income2 of 319 billion yen.
1 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 revenues and operating profit.
2 Net income attributable to owners of the parent
