Japanese auto major Suzuki Motor on Monday reported 5.26 percent jump in its net income for the six-month period ended September 30, despite heavy production loss due to labour unrests at its best performing operations in India during the same period.
During the April-September period, the company’s net income increased to 32.01 billion yen (about Rs 2,010 crore) from 30.41 billion yen (about Rs 1,910 crore) in the same period last year, Suzuki Motor said in a statement.
The net sales during the period, however, declined by 6.82 percent to 1.23 trillion yen (about Rs 76,907 crore) from 1.32 trillion yen (about Rs 82,715 crore), it added.
“The domestic economy is somewhat recovering from the stagnation following the Great East Japan Earthquake, but it is exposed to a downward pressure from various factors including the flood in Thailand and a further appreciation of the yen,” the company said. It also said the decreased sales in India had an impact on its net sales. “...sales amount (in Asia) decreased by 36.1 billion yen to 427.6 billion yen year-on-year due to decreased sales of Maruti Suzuki India and the exchange rate factor following the Yen appreciation,” it added.
Maruti Suzuki India had posted 59.81 percent fall in its net profit at Rs 240.44 crore for the quarter ended September 30, mainly due to production loss at Manesar because of labour unrest and foreign exchange loss. Also, Suzuki’s motorcycle factory in Thailand has been closed since mid-October as deadly floods there disrupted the flow of parts supply. The company has been spared any impact on its car production in Thailand so far.