Suzuki Motor on Thursday reported a 7.6% rise in quarterly profit after sales grew worldwide, and it reiterated its expectation of higher full-year earnings.
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According to a Reuters report, Suzuki is enjoying record profits thanks to a global shift in consumer taste toward smaller, fuel-efficient cars, while it continues a rapid expansion in the burgeoning Indian market. Its unit there, Maruti Udyog, earlier announced its highest-ever monthly sales with a 30% jump in January.
Growth was especially robust in Europe, where Suzuki increased car production by 41% during the October-December quarter thanks to the popular Swift compact car, the report added. Globally, its car output rose 11.5% to 619,000 units last quarter.
Operating profit at Suzuki was $US258.5m (31.18 billion yen) for the third quarter, according to calculations by Reuters based on the automaker’s nine-month results.
Net profit reportedly rose 6.5% to $150.0m (18.05bn yen) on revenue of $6.28bn (755.89bn yen), up 11.2%.
For the year to next 31 March, Suzuki stood by its projection for an operating profit of $1.03bn (124bn yen), which would be up 8.9% from last year and mark the seventh straight year of record profits, Reuters added.
The company expects the dollar and euro to average 114 yen and 144 yen respectively for the year to 31 March. For the first nine months, the currencies averaged 116 yen and 148 yen and have climbed further since, the report said.
