Nissan profits boosted by US sales

Japanese carmaker Nissan has reported a 25% increase in half-year profits as strong sales in North America helped to offset weaker demand elsewhere.

For the six months to September, Nissan reported net income of 237bn Japanese yen ($2.08bn; £1.3bn).

It said it had seen "strong demand" for its new products, with rising sales in its key market of North America.

Carmakers in Japan have also been helped by a weakening yen, which gives them an edge in export markets.

Sales forecast cut

Nissan
sold 2.58 million vehicles in the six-month period, which was up 5.8% compared with the same period a year ago.

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Some people are voicing concern about the yen's weakening, but all in all we think it is positive for industry and the economy”

Hiroto SaikawaNissan, Chief Competitive Officer

"Nissan successfully overcame challenging market conditions in the first-half of the fiscal year, delivering solid revenues and profitability amid encouraging demand for our latest models," said chief executive Carlos Ghosn.

Nissan said it enjoyed "strong" sales growth in North America and had seen signs of "stabilisation" in western Europe.

"This offset slower demand in Japan and continued volatility in Russia and other emerging economies."

Japan's consumers are still recovering from a sales tax hike in April, while a slowdown in China, the world's largest car market, has also affected Nissan's sales on the mainland.

Nissan revised its full-year sales forecast down by 200,000 to 5.45 million reflecting lower than expected sales in China and emerging markets.