Nissan Reports Third Quarter Financial Results For Fiscal Year 2024 Amid Declining Revenue

Published: Friday, February 14, 2025, 0:02 [IST]

Nissan Motor Co., Ltd. has revised its financial forecast for fiscal year 2024, anticipating lower results than previously expected. The company reported its financial outcomes for the third quarter and the nine months ending December 31, 2024. For the first nine months, Nissan's consolidated net revenue reached 9.1432 trillion yen, with an operating profit of 64 billion yen and a margin of 0.7%. Net income stood at 5.1 billion yen.

During the third quarter alone, Nissan's consolidated net revenue was 3.159 trillion yen, while operating profit amounted to 31.1 billion yen, resulting in a profit margin of 1%. The company's financial results are calculated under the equity accounting method for its joint venture in China. This method excludes Dong Feng-Nissan’s results from revenue and operating profit figures.

Nissan's Third Quarter Results for FY 2024

The decline in revenue and profits compared to the previous year is attributed to reduced unit sales, increased sales incentives, and inflationary pressures. The following table provides a summary of Nissan’s financial performance for the first nine months of fiscal year 2024:

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For the three-month period ending December 31, net revenue increased by 50.9 billion yen compared to the same period last year, reaching 3.159 trillion yen. However, operating profit decreased by 110.5 billion yen to reach 31.1 billion yen. Net income also saw a decline of 43.2 billion yen, resulting in a loss of 14.1 billion yen.

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Nissan has adjusted its full-year outlook for fiscal year 2024 downward due to changes in volume expectations and increased incentives, although some offsetting benefits from foreign exchange rates are anticipated. The revised forecast projects net revenue at 12,500 billion yen and an operating profit of 120 billion yen.

Revised Fiscal Year Outlook

The company now expects a net loss of approximately 80 billion yen for the fiscal year. This revision reflects a decrease from earlier projections due to adjustments in sales volume and incentive strategies.

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Nissan's financial reporting since fiscal year 2013 has been based on equity method accounting for its joint venture with Dong Feng in China. This approach maintains consistency in net income reporting but excludes certain joint venture results from revenue calculations.

The company continues to focus on sustainable mobility solutions as part of its broader strategic goals.