Nissan Motor Co estimated a flat operating profit for the current fiscal year on Thursday, well below analyst expectations, as the firm deals with harsher trade conditions brought on by a global chip scarcity, increased material costs, and China’s COVID regulations.
Nissan (NSANY) has joined a growing number of global corporations warning of declining profitability because they are unable to fully pass on rising input costs to consumers and are prepared for future supply chain disruptions as a result of the Ukraine conflict and China’s lengthy COVID lockdowns.
Nissan anticipates a 19 percent increase in sales this fiscal year. Toyota Motor (TM), its bigger rival, said record increases in raw material costs might shave a fifth off the full-year profit.
In the fourth quarter, Japan’s third-largest automaker earned 56 billion yen in operational profit. The global semiconductor scarcity has caused global production to plummet for the fourth consecutive business year, with the most recent loss exceeding 10% year on year.
As it probes fund transfers by Xiaomi (XIACF) Corp, India’s financial crime-solving agency urged a court on Thursday to re-instate a hold on $725 million in the Chinese smartphone giant’s Indian bank accounts.
Xiaomi had illegally transported monies abroad to three businesses, according to the enforcement directorate. Xiaomi was granted permission to make such payments using a bank overdraft facility by the judge.
After Xiaomi disputed the ruling, the high court in the southern Karnataka state put it on hold, stating that all royalty payments were legal.
The hold decision will be maintained for the time being, according to a judge on the same court, who added that the department would submit a formal request to restore the freeze later in the day.
Over the next 12 months, HSBC Holdings will develop a $1 billion financing pool to invest in female-owned enterprises. Female-owned enterprises are also less apt to have an extensive network, which makes international expansion more difficult.
Female-led enterprises receive much less investment over time than their male competitors. These same firms have been disproportionately affected by the pandemic’s latest effects.