Suzuki Motor Corp Q2 operating profit down 32% as India, Japan sales slump
Japanese auto major Suzuki Motor Corporation on Tuesday reported 31.83 percent decline in operating profit at 55.90 billion yen (around Rs 3,630 crore) in the second quarter ended September 30, mainly hit by the slowdown in India. The company, which operates in India through its subsidiary Maruti Suzuki India (MSI) , had posted an operating profit of 82 billion yen (around Rs 5,330 crore) in the same period last fiscal.
Net sales in the period under review stood at 847.9 billion (around Rs 55,110 crore) yen as against 941.9 billion yen (about Rs 94,190 crore) in the year-ago period. The decline in net sales was due to a decrease in Japan production on the restructuring of the final inspection structure and a decrease in Indian automobile sales driven by the slowdown in the overall market, the company said in a presentation on its website.
"Slowdown since 2Q of FY2018, owing to production decrease in Japan, in addition, to slow down in Indian automobile (is) continuing from the previous year," it added.
SMC said its global sales declined 17.2 percent to 14.08 lakh units owing to a decrease in India and Japan. Sales in India, where MSI has nearly 50 percent market share, were down 26.5 percent at 6.75 lakh units.
In Japan, the drop was 4.6 percent to 3.33 lakh units. However, in Europe, the company posted a growth of 7.3 percent at 1.49 lakh units.
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