Suzuki Profit Up 1.7% in 1Q
Japan’s Suzuki Motor Corp. posted a net profit of 16.83 billion yen for its April to June first quarter, up 1.7% from 16.56 billion yen for the same period in 2004, but maintained the forecast of a 20.7% drop in full-year earnings.
Operating profit was 28.78 billion yen, up 4.6%; sales were 637.85 billion yen, up 8.6%.
In Suzuki’s previous full year, April 2004 through March 2005, net profit surged 38.0% to a record 60.5 billion yen. Operating profit was 107.5 billion yen, up 13.0%; sales were 2.365 trillion yen, up 7.6%.
Suzuki has had five straight years of profit growth. However, for the current year to March 2006, the company continues to project a 20.7% decline in net profit to 48 billion yen, and a 16.3% fall in operating profit to 90 billion yen. Sales are forecast to rise 5.7% to 2.50 trillion yen.
Suzuki is one-fifth owned by General Motors Corp., and its automotive business is responsible for the lion’s share of its sales.
