Nissan Reports First-Half Results for Fiscal Year 2021

Overview of Nissan's Financial Performance

Nissan has recently published its first-half results for fiscal year 2021, revealing a positive trajectory following the challenges faced during the pandemic. The company’s profitability has notably improved compared to the previous year.

Key Financial Highlights

• Accumulated net earnings: 3.95 trillion yen
• Combined operating profit: 139.1 billion yen
• Operating profit margin: 3.5%
• Net profit for the fiscal year: 168.6 billion yen

The results reflect improved market conditions, driven by enhanced sales quality and financial discipline.

Nissan's Strategic Initiatives

Nissan's positive financial results are attributed to the effective implementation of the Nissan NEXT transformation plan, which emphasizes electric mobility and sustainable practices. Despite challenges such as the semiconductor supply shortage, the company managed to reduce selling expenses and fixed costs, resulting in higher profit per unit.

Comparative Revenue Insights

• Net revenue for FY2021 exceeded FY2020 by 854.3 points.
• Ordinary profit increased by 416.3 points compared to the previous year.

The joint-venture operation in China contributed significantly, with an operating profit of 199.7 billion yen and an operating margin of 4.3%.

Quarterly Financial Performance

During the second quarter, Nissan reported:

• Consolidated operating profit: 63.4 billion yen
• Net profit: 54.1 billion yen

Future Outlook

Despite anticipating a 13.6% decline in sales volume to 3.8 million units, Nissan is optimistic about its revised full-year outlook. The company aims to enhance the quality of sales and focus on its new product portfolio.

Projected Annual Figures

For the entire year, Nissan forecasts:

• Net revenue: 8.8 trillion yen
• Operating profit: 180 billion yen
• Net profit: 180 billion yen

The estimations have been submitted to the Tokyo Stock Exchange for public disclosure.

Statement from CEO Makoto Uchida

Nissan CEO Makoto Uchida stated, “Our strong results are the outcome of diligent financial management, improved quality of sales, and a continuing product offensive. This has helped us withstand several headwinds. As we have revised our fiscal-year 2021 outlook, we are confident to exceed a 2% operating margin for the year, which is one of the milestones of the Nissan NEXT transformation plan. We will continue to firmly pursue Nissan NEXT globally to achieve the plan's target of a 5% operating margin in fiscal year 2023.”