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Nissan reports $4.13B net income for 2012

The news for Nissan is good when it comes to the company's results for the 2012 financial year that ended on March 31. Even though the numbers were down in many of the world's major markets, increased sales in the US, Brazil and the Middle East, ten new models and a strong fourth quarter allowed Nissan to hit its target for the year and notch record sales of 4.914 million units globally. On net revenue of $116 billion, Nissan posted net income of $4.13 billion and an operating profit of $6.31 billion.
There are upward-looking projections for this year, Nissan forecasting a 7.8-percent jump in sales to 5.3 million units, with $117.89 billion in net revenue and $4.42 billion in net income. That net revenue number probably won't actually match what's reported next year, though, because Nissan is changing its accounting method and won't include revenue and operating profit results from its joint venture with China's Dongfeng. Net income doesn't change under the new method, but the adjusted net revenue forecast is $109.16 billion.
There's a press release and two videos below with more details for those of you who go gaga for annual reports.

To survive in India, a diminished Nissan bets big on a small SUV

NEW DELHI — By any measure, Nissan has had a dreadful run in India. A push to revive its lower-end Datsun brand flopped, sales have slumped 60% over the past five years, and its sole plant in the country is operating way below capacity. But the amount of money and energy that Nissan — battered by scandal and expecting a record $4.5 billion annual operating loss worldwide — will spend to turn its fortunes around in India will hinge on the sales of one vehicle, its new Magnite compact SUV. The SUV may also determine how much heft Nissan will wield as it and alliance partner Renault thrash out their respective roles in the Indian market. Unveiled this month and due to be launched either late this year or early 2021, the Magnite will be Nissan's first new vehicle in India in two years. It's expected to have a 1.0-liter three-cylinder engine with 72 horsepower, and a turbocharged version of that engine making 100 horsepower. It will have features such as an 8-inch touchscreen, cruise control, and a 360-degree camera. Moreover, it will be just one of three Nissan-branded models in the market after two others were pulled in April when tougher emission rules kicked in. "Magnite will buy Nissan a couple of years to figure out a plan for India and the SUV's success will determine whether it invests more or scales down operations," said one source. A second source called the sport-utility vehicle Nissan's "last hope" to revive the brand in India. Japan's No. 2 automaker has, however, no plans to withdraw from India, where it has invested over $800 million, and discussions about strategy are ongoing, the sources said. They were not authorized to speak to media and declined to be identified. The Datsun brand is likely to be phased out as part of a global overhaul, they added. Nissan's only other models in India are three Datsun cars. Nissan said in a statement to Reuters it is committed to the Indian market and has a well-defined strategy for "a sustainable and profitable business". It declined to comment on sales goals for the Magnite.   Who will lead? Nissan's internal plans call for sales of 1,500 to 2,000 Magnites a month, the first source said — which if realized would exceed the average India monthly sales it achieved last business year with seven models. The SUV will be priced "aggressively," the sources said without elaborating.

Nissan and BMW want the UK to stay in the EU

Nissan and BMW are saying that the Brexit shouldn't become reality. It's a mixture of hope and threat because their planned investments in the UK risk to be damaged by the referendum's result. While those brands are still saying that every decision from the UK's people will be respected, you can sense a fear that every plan is going to be messed up. The problem is simple according to Nissan CEO Carlos Ghosn: "For us, a position of stability is more positive than a collection of unknowns. It makes the most sense for jobs, trade and costs." For sure Nissan is not going to shut its plant in northeast England if the country exits the Union, but this could change plans for the future, as the so-called Brexit could cause an increase on costs and above all on competition. Nissan employs 8,000 people in the UK across its manufacturing, engineering, and design facilities, and a further 32,000 indirectly through dealerships and its supply chain. All these people produce almost half a million cars and 80 percent of those are exported, so just imagine how taxes could affect prices and sales. If the EU's borders get smaller, Nissan will face some problems with customs duties the foreign products struggle with, as other Japanese automakers have so far, while importing their cars into the Union. Nissan is not the only maker interested in the outcome of the referendum to be held June 23; BMW is of the same mood, hoping Brexit won't become reality. The Germans already warn Mini and Rolls-Royce employees that the exit of UK from the Union could cause problems with increasing costs and higher prices due to tariff barriers. BMW CEO Harald Krueger at the Geneva auto show said "a UK vote to exit the European Union would cloud the future of the automaker's UK brands, which include Mini, along with Rolls-Royce". What's happening in this case is not only an English issue. In fact, although every decision taken by the UK's people must be respected, the automakers are right when saying they hope it is not going to happen, as you hope no one changes the cards during the game. Image Credit: Nissan Government/Legal BMW Nissan brexit open road