SUZUKI PROFITS UP BY 20%
August 1 2006.
Suzuki Motor Corp has announced that its group net profit rose 20.4% in the April-June quarter from a year earlier, propelled by robust vehicles sales in India and other overseas markets.
The auto and motorcycle maker, which loosened its capital partnership with the U.S. auto giant General Motors Corp. earlier this year, posted a group net profit of Y20.26 billion in the quarter ended June 30, up from Y16.83 billion a year earlier.
Its group operating profit grew 18.0% to Y33.95 billion from Y28.78 billion as group sales rose 19.8% to Y763.84 billion from Y637.85 billion.
Suzuki, which focuses on the business of small cars, left unchanged its forecast for this fiscal year through March.
The small vehicle maker expects a group net profit of Y66 billion on group sales of Y2.800 trillion for this fiscal year.
Brisk sales in India, Pakistan, Europe and North America boosted overall overseas sales 11.8% to 367,000 vehicles while domestic vehicle sales increased 1.6% to 166,000 vehicles. Suzuki is strong particularly in India, holding about a 50% share through its Maruti Udyog Ltd. subsidiary in the growing auto market.
GM sold a 17% stake in the Japanese auto maker and now holds 3% as part of its efforts to raise cash to finance the restructuring of its unprofitable North American operations.
Suzuki, on the other hand, expanded its tie with Nissan Motor Co. in their collaboration of supplying products to each other.

Source: Nikkienet