TOKYO (AP) – Japanese automaker Nissan Motor Co. says that despite strong overall sales its quarterly profit dipped in the last quarter, squeezed by rising costs and slowing growth in China.
The company said Thursday that its April-June net profit was 134.9 billion yen ($1.2 billion), down 1 percent from 136.4 billion yen the same period the year before. Quarterly sales climbed 4 percent to 2.76 trillion yen ($24.8 billion).
Nissan, which makes the Leaf electric car, March subcompact and Infiniti luxury models, stuck to its full year forecast through March 2018, for 535 billion yen ($4.8 billion) profit on 11.8 trillion yen ($106 billion) sales.
Yokohama-based Nissan sold 1.35 million vehicles in the quarter, up 5 percent on year. Vehicle sales rose in Japan, the U.S., China and Europe, Nissan said.
Tiny cars called “kei” vehicles sold briskly in Japan market, while strong demand for sport utility vehicles such as the Nissan Rogue helped perk up sales in the U.S. Although Nissan’s sales in China in the latest quarter exceeded those in the previous year, the momentum of growth was tapering off, it said.