TOKYO: Japan's Mitsubishi Motors said Wednesday its net loss narrowed in the nine months to December from a year earlier as the global market recovers and cost-cutting measures helped offset the yen's strength. The automaker posted a return to operating profit over the period but it said the strong yen weighed on earnings as it maintained its annual forecast.
Mitsubishi Motors' net loss was 2.25 billion yen ($27.6 million), less than a tenth of a 25.7 billion yen loss logged in the same period last year when the auto industry was hit by the global financial crisis. But the company logged an operating profit of 13 billion yen, up from an operating loss of 19.8 billion yen a year ago. Sales jumped 37.7 percent to 1.31 trillion yen.
In a statement the automaker said: "Factors contributing to this were an increase in sales volume and a better model mix together with reductions in material and other costs which more than countered the negative impact of the higher yen."Global retail sales volume for the three quarters totalled 807,000 vehicles, up 17 percent from the same period in 2009.The company kept its full fiscal year forecasts unchanged at sales of 1.9 trillion yen, operating profit of 45 billion yen and net profit of 15 billion yen.
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