Nissan Motor Company, Japan's second-largest car maker, today reported a 4.2% rise in net profit for the quarter to June as revenue grew by just over 3%.
Net profit came to 110.15 billion yen ($943.2m) in the fiscal first quarter, up from 105.70 billion yen a year earlier. However, operating profit fell 25.7% to 153.35 billion yen while revenue increased by 3.1% to 2.21 trillion yen.
The increase in net profit was largely the result of the absence of one-off charges taken a year earlier in relation to changes to accounting standards and the Nissan pension plan.
The decline in operating profit was blamed partly on a one-time charge for a four-cylinder engine warranty provision in North America.
Nissan said it sold a total of 826,000 vehicles in the three months to June, down 6% year-on-year.
'As we predicted, the first half is proving to be challenging as we face significant headwinds and only one new model introduction,' Nissan's CEO Carlos Ghosn said.
'We are maintaining our forecast for the full fiscal year and remain confident that our new product introductions will provide a significant contribution to our business in the second half of this fiscal year,' he added.
