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Mitsubishi faces loss in sales

03 February 2010 14:57 (UTC +04:00)

Baku â€“ APA-Economics. Mitsubishi Motors Corp. swung into a net profit during the October-December quarter for the first time in five quarters and raised its vehicle sales outlook in volume for the full business year, suggesting its cost cuts and focus on sales promotion in recovering marketing areas are paying off, Wall Street Journal reported.

The maker of the Outlander and Pajero sport-utility vehicles said Wednesday it posted a net profit of Â¥10.7 billion from the just-ended quarter, compared with a net loss of Â¥17.54 billion in the same period a year earlier.

Weighed down by a falloff in sales in volume and the yen’s strength, Mitsubishi’s sales during the just-ended quarter fell 15% to Â¥379.10 billion from Â¥444.16 billion a year earlier. But cost cuts enabled the company to swing into an operating profit of Â¥12.67 billion from a loss of Â¥5.43 billion a year earlier.

For the full fiscal year ending March, Mitsubishi Motors left unchanged its forecast for this fiscal year through March. The company continues to expect a net profit of Y5.00 billion, an operating profit of Â¥30.00 billion and sales of Â¥1.500 trillion.

But the company revised upward its sales outlook in volume to 960,000 vehicles for the full business year, about 3% higher than its prior outlook in October.