Nissan CEO Ghosn Expects Yen to Weaken image

Carlos Ghosn, Nissan Motor Co Chief Executive, declared on Friday, May 11th, that he expects the yen to weaken.

“Even though it is now at the 79 yen level, two weeks ago it was at 83 or 84. If there is any indication for the future, logically the yen should weaken,” he said.

In 2011 Nissan managed to sell more than 650,000 cars, reaching record sales and growth. This year’s first quarter profit more than doubled to 75.3 billion yen, despite disruptions from 2011 tsunami and earthquake and the strength of the yen. The company expects to sell 5.35 million units this fiscal year, which would be an increase of 10% for another record.

“It is an even more encouraging performance given the headwinds created by natural disasters, an overvalued yen and uncertain global economic conditions,” said Ghosn.

Nissan’s Power 88 plan has to objectives: 8% operating margin and 8% global market share. In 2011 the company’s global market share reached 6.4% and the operating margin was 5.8%. For 2012 and the coming years Nissan hopes two accomplish these two objectives, hopefully reaching 8% by 2016. Carlos Ghosn believes that Nissan’s new models, numerous launches and technology have positioned the company very well worldwide.