Mazda 4th quarter and Fiscal Year end
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Mazda 4th quarter and Fiscal Year end
http://www.autonews.com/article/2017...ges-56-percent
Mazda Profits Down 44.6% From Previous Year - The Drive
Mazda Profits Down 44.6% From Previous Year - The Drive
Mazda's latest fiscal year report is out and the numbers don't look good. Operating profit was down 44.6 percent compared to the previous fiscal year, which ended up being 4.3 percent lower than the company had forecast in February. Though Mazda was anticipating a poor year, its fourth quarter performance was much worse than expected, with profits down 56 percent from the same quarter last year.
Mazda's losses came from a variety of sources. Declining sales in the Japanese and North American markets and increased manufacturing costs to improve product quality were two driving factors. The more surprising and uncontrollable contributor was the strength of the Yen. Exchange rates from weaker currencies to the stronger than anticipated Yen hurt Mazda profit from overseas sales.
It wasn't all bad news, though. Sales in Europe were up slightly, while sales in China were 24 percent higher than the previous year. Mazda had strong sales of its line of crossovers, the CX-3, CX-4, CX-5, and CX-9. The latest MX-5 did well, too.
Mazda's losses came from a variety of sources. Declining sales in the Japanese and North American markets and increased manufacturing costs to improve product quality were two driving factors. The more surprising and uncontrollable contributor was the strength of the Yen. Exchange rates from weaker currencies to the stronger than anticipated Yen hurt Mazda profit from overseas sales.
It wasn't all bad news, though. Sales in Europe were up slightly, while sales in China were 24 percent higher than the previous year. Mazda had strong sales of its line of crossovers, the CX-3, CX-4, CX-5, and CX-9. The latest MX-5 did well, too.
Retail volume in North America, Mazda’s biggest market, increased 5 percent to 98,000 units in the fourth quarter. Sales in Japan climbed 2 percent to 71,000 vehicles, while sales in China surged 10 percent to 65,000. Volume in Europe declined 3 percent to 71,000.
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ditto 77mjd. (they removed the 'like" button) Yes they need some higher performance upscale models to excite and attract more folks into the dealerships and enhance the brand's rep. Most other Japanese and European carmakers have upscale models and/or upscale standalone brands to bring in more profits. The new CX9 was a good attempt, an upscale start.
At least the volume numbers were improving at fiscal year's end, but not profits as much, signaling Mazda is doing well with its less expensive cars. It needs higher profit upscale models, and the addition of the 2.5 turbo could help there.
Looks like the Chinese market could be one of Mazda's saviors, longterm.
At least the volume numbers were improving at fiscal year's end, but not profits as much, signaling Mazda is doing well with its less expensive cars. It needs higher profit upscale models, and the addition of the 2.5 turbo could help there.
Looks like the Chinese market could be one of Mazda's saviors, longterm.
Last edited by gwilliams6; May 6, 2017 at 09:36 AM.
I certainly hope those factors come into play with these studies. The development of their SkyActiv 2 and SkyActiv-D (into the US market) is a considerable factor if so.
It is much easier to report negativity without scratching the foundation of the causes. None the less, I'm sure this is one of those "you have to spend money to make money" scenarios in addition to both controllable/non-controllable factors like fluctuating currencies as well as declining sales due to poor marketing and dealership management.
It is much easier to report negativity without scratching the foundation of the causes. None the less, I'm sure this is one of those "you have to spend money to make money" scenarios in addition to both controllable/non-controllable factors like fluctuating currencies as well as declining sales due to poor marketing and dealership management.
Last edited by SayNoToPistons; May 9, 2017 at 08:27 AM.