Japanese automaker Nissan lowers its profit forecast amid incentive, inventory woes

AP Business Writer

TOKYO (AP) — Nissan has lowered its full fiscal year outlook after the Japanese automaker reported a 73% decline in profit in the April-June quarter compared to the previous year. Chief Executive Makoto Uchida called the results “very challenging,” blaming sales incentives and marketing expenses amid intense competition, especially in the U.S. market. Nissan shares fell 7% in Tokyo on Thursday. Such challenges came despite global vehicle sales holding steady at 787,000, according to Nissan. Quarterly sales edged up 3%. The need to optimize inventory also chipped away at profitability. Nissan’s fiscal first quarter profit declined to 28.6 billion yen, or $187 million.