Mitsubishi Motors (MMC) operating profit for the nine months to 31 December 2017 rebounded sharply from a loss the previous fiscal year.
It booked JPY64.6bn, and an operating margin of 4.3%, on sales to up 13% year on year to JPY1.52 trillion.
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Last fiscal year, it was battling the fallout from 'mis-stating' kei car fuel economy and ended up being controlled by Nissan for which it builds kei cars on an OEM basis.
MMC also reported net income of JPY70.1bn for the nine months versus a JPY213.3bn net loss the previous year.
Unit sales rose 15% to 777,000 after strong demand in Japan, China and the ASEAN region which MMC now focuses on.
Sales in Japan increased 24% to 62,000 unitsafte kei car sales resumed.
China sales rose 63% to 103,000 units boosted by the locally assembled Outlander.
ASEAN sales rose 25% to 187,000 due to the new Xpander launched in October in Indonesia.
Sales of the Eclipse Cross compact SUV "have begun smoothly in Europe", MMC said, and will now be launched in Oceania, North America and Japan.
"Demand for the Eclipse Cross is expected to contribute to future sales growth in the full-year and in fiscal 2018," the automaker said.
Following strong sales and cost reduction in the nine months, the automaker has boosted its the full year forecast for fiscal 2017/18 and dividend.
CEO Osamu Masuko said: "Given our recovery trend and strong performance in the first nine months of the year, we have revised our full year forecast upwards. Demand for new models and increased operational efficiency gives us confidence that we will accomplish this goal for this fiscal year. Based on this outlook, we have revised the year end dividend forecast from the previous JPY7 to JPY10."
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By GlobalDataThe company now expects to sell 1.09m vehicles, up 61,000, for an extra JPY100bn of revenue (now JPY2,100 trillion) and added JPY25bn to its operating profit forecast (now JPY95bn) with margin improved 1% to 4.5%. Net profit should now be up JPY32bn to JPY100bn.
Clearly, oversight by the Nissan-Renault-Mitsubishi alliance is working.
