Japan

On May 9, 2024, Nissan Motor announced its FY2023 financial results and FY2024 business highlights.

The automaker announced its consolidated sales revenues for the fiscal year ended March 31, 2024 (April 1, 2023 through March 31, 2024) increased by 19.7% year-on-year to JPY 12,685.7 billion. Operating income increased by 50.8% year-on-year (YoY) to JPY 568.7 billion, while net profit increased 92.3% to JPY 426.6 billion. Operating profit growth is contributed by it’s sales performance driven by strong volume and product mix and foreign exchange.

In fiscal year 2023, total global retail sales increased by 4.1% YoY to 3,442 thousand units. In Japan, unit sales rose by 6.5% to 484 thousand units, in North America by 23.3% to 1,262 thousand units and in Europe by 17.2% to 361 thousand units. On the other hand, in China, retail sales fell by 24.1% to 794 thousand units.

As for the financial forecasts for the fiscal year ending March 31, 2025 (April 1, 2024 through March 31, 2025), Nissan forecasts that net revenue is expected to increase by JPN 914.3 billion to JPN 13.6 trillion, operating profit to increase by JPY 31.3 billion to JPY 600 billion, net income is projected to decline to JPN 380 billion. Although inflation costs will be a negative factor, volume increase, forex benefit and raw material costs are expected to contribute to higher operating profit.

Nissan recapped the progress achieved during the Nissan NEXT transformation plan, which
concluded at the end of fiscal 2023. It focused on three areas:

• Rationalization of both our product portfolio and production capacity;
• Prioritizing the markets and product segments where Nissan is strongest.
• and investment for the future in areas including electrification, autonomous driving and battery technology

Based on Nissan's press release

Kasai Kogyo Co. Ltd. (Kasai Kogyo) announced that it will receive an investment of JPY 6 billion from Nissan Motor Co., Ltd. (Nissan). The companies concluded an investment agreement under which Nissan will underwrite Class A preferred shares to be issued by Kasai Kogyo through a third-party allotment.

The invested JPY 6 billion will be allocated to structural reform expenses in Norh America, Japan, and Europe. Specifically, the funds will be used to optimize production facilities including expansion and relocation. Kasai Kogyo plans to allocate JPY 3.6 billion to North America, JPY 0.6 billion to Japan, and JPY 1.8 billion to Europe.

Kasai Kogyo has been facing significant declines in sales and increases in fixed costs due to the impact of the COVID-19 pandemic and global semiconductor shortages. As a result, the company’s equity ratio had declined and its creditworthiness had deteriorated, making it difficult to raise funds through new loans. With the investment by Nissan, Kasai Kogyo will implement structural reform to reduce its fixed costs.

The third-party allotment will take place between June 28, 2024 and February 9, 2025. (From a press release dated May 9, 2024)

JTEKT Corporation (JTEKT) announced that it has begun development of a high-pressure hydrogen pressure reduction valve for hydrogen engine vehicles.

The product reduces pressure of the hydrogen supplied from a valve to the appropriate pressure for the hydrogen engine. JTEKT is leveraging a core technology of its second-generation hydrogen pressure reduction valve applied to fuel cell vehicles (FCVs). The company is aiming to promote the project to achieve a full-fledged hydrogen society from 2030 onward.

JTETK started its high-pressure hydrogen business in 2002 and has developed high-pressure hydrogen supply valves and high-pressure hydrogen pressure reduction valves for FCVs. Now, the company has begun developing products for hydrogen engine vehicles, leveraging the strengths of high-pressure hydrogen products, such as small size, light weight, and high reliability, which it has cultivated through more than 20 years of technology development and two generations of production experience for vehicles in the market. (From a press release dated May 7, 2024)