Nissan’s 14% net profit quarterly increase beat analysts’ expectations, thanks to an increase in US sales.
Nissan, who is the second largest Japanese automaker, said that net profit jumped to 82.02 billion yen ($819 million) during the second quarter, surpassing the 63.8 billion yen estimated by analysts.
“Positive signs of improving sales volume in China, as well as expected contributions from the full ramp-up of US operations, should enhance Nissan’s performance in the coming quarters of fiscal year 2013 – in line with the company’s previously announced guidance,” the company said in a statement.
Japanese automakers’ sales in China have been affected by the September protests, connected to a territorial dispute between the two nations. As China was Nissan’s largest market for the past 4 years, the automaker was the hardest hit by the protests. Nissan’s sales in China dropped 15% to 284,000 units in the first quarter and the market share dropped 2 percentage points to 5.5%. In the second quarter sales in this market fell only 1% to 308,000 units.
Sales in the US increased 20% in the second quarter to 306,000 vehicles, thanks to a growth in demand for the Pathfinder and Altima vehicles. The market share in this country increased 0.7 percentage point to 7.4%.
“Market conditions were challenging in the first quarter, but our results were in line with our expectations,” CEO Carlos Ghosn said. “Nissan is on track to deliver its full-year guidance.”