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NISSAN MOTOR surges after six-day decline on reversal to operating profit following reversal of emissions-related reserves
NISSAN MOTOR <7201> shares surged on April 28, snapping a six-day losing streak. Following the market close on April 27, the company announced that its consolidated operating profit for the fiscal year ended March 2026 is estimated to have reached 50.0 billion yen. This marks a significant reversal from its previous guidance of a 60.0 billion yen loss, a surprise that was met with strong buying interest. The return to profitability was bolstered by a one-time gain from the reversal of reserves related to U.S. greenhouse gas emission regulations, as well as aggressive cost reductions and favorable foreign exchange fluctuations.
Revenue is expected to reach 12.0 trillion yen, exceeding the company’s previous plan by 100.0 billion yen. While NISSAN still anticipates a net loss of 550.0 billion yen, this represents a 100.0-billion-yen narrowing from its earlier outlook. Crucially, the company indicated that automotive free cash flow turned positive in the second half of the fiscal year, with the segment's net cash position projected to exceed 1.0 trillion yen.
Source: MINKABU PRESS
*Translated by generative AI. Click here for the original article.
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