Nissan profits suffer from lack of new models

Nissan profits suffer from lack of new models

Nissan Motor Co. has come out with their revenue reports and the group’s operating profit dropped 15.8 percent year-on-year to 531 billion yen in the nine months to December.

Market analysts believe that the company suffered due to increasing costs and lack of new exciting models.

The company also cut its full-year operating profit forecast despite the weaker yen against the dollar and the euro.

Nissan has cut its projections for operating profit to 775 billion yen from initial 880 billion yen. They have also cut its projection for net profit to 460 billion yen from initial 523 billion yen.

However, the company still believes that the sales can hit 10.5 trillion yen as they revised an earlier estimate of 10.0 trillion yen.

President Ghosn said in a statement that the company is having a tough time with higher raw materials and energy costs.