Nissan full-year net profit more than halves to near-decade low

Nissan forecast a further decline in profit as it battles to recover after the shock arrest of its talismanic former boss Carlos Ghosn. (AP)
Updated 14 May 2019

Nissan full-year net profit more than halves to near-decade low

  • Sales fell 3.2 percent with operating profit down for a third straight year
  • For the year to March 2020, Nissan said its net profit would nearly halve further to ¥170 billion

TOKYO: Crisis-hit Nissan on Tuesday revealed full-year net profits at a near-decade low and forecast a further decline as it battles to recover after the shock arrest of its talismanic former boss Carlos Ghosn.
The Japanese firm’s bottom-line profit for the fiscal year to March fell 57.3 percent to $2.9 billion (¥319.1 billion), the lowest since 2009-2010 when the company was struggling in the wake of the global financial crisis.
Sales fell 3.2 percent with operating profit down for a third straight year, said Nissan — which is allied with France’s Renault and fellow Japanese carmaker Mitsubishi Motors.
The results were in line with its downward revision announced last month.
For the year to March 2020, Nissan said its net profit would nearly halve further to ¥170 billion with sales projected to fall 2.4 percent.
The results came as ex-chairman Ghosn, now released on bail, awaits his fate after prosecutors hit him with a fourth set of charges over alleged financial misconduct.
Among other accusations, authorities suspect he siphoned off around $5 million for his personal use from money transferred from Nissan to a dealership in Oman.


US President Trump does not want to do business with China’s Huawei

Updated 19 August 2019

US President Trump does not want to do business with China’s Huawei

  • US Commerce Department expected to extend a reprieve that permits Huawei to buy supplies from US companies to service its customers

WASHINGTON: US President Donald Trump on Sunday said he did not want the United States to do business with China’s Huawei even as the administration weighs whether to extend a grace period for the company.
Reuters and other media outlets reported on Friday that the US Commerce Department is expected to extend a reprieve given to Huawei Technologies Co. Ltd. that permits the Chinese firm to buy supplies from US companies so that it can service existing customers.
The “temporary general license” will be extended for Huawei for 90 days, Reuters reported, citing two sources familiar with the situation.
On Sunday, Trump told reporters before boarding Air Force One in New Jersey that he did not want to do business with Huawei for national security reasons.
He said there were small parts of Huawei’s business that could be exempted from a broader ban, but that it would be “very complicated.” He did not say whether his administration would extend the “temporary general license.”
Speaking earlier on Sunday, National Economic Council director Larry Kudlow said the Commerce department would extend the Huawei licensing process for three months as a gesture of “good faith” amid broader trade negotiations with China.
“We’re giving a break to our own companies for three months,” Kudlow said on NBC’s “Meet the Press.”