...Sales Volume in Key Markets: Nissan Motor Co., Ltd. posted solid sales volume growth in financial year 2014 (FY14, to 31 March 2014), up 5.6% year-on-year, with double-digit volume growth in Japan, the US and China offsetting volume declines in emerging markets. Fitch Ratings expects Nissan to maintain its sales momentum in FY15, supported by its boosted product portfolio and a modest global auto demand outlook. Improving Profitability in FY15: EBIT margins (industrial operations) declined to 3.4% in FY14 (FY13: 4.2%) due to high selling, general and administrative (SG&A) costs and warranty expenses, despite a substantial foreign-currency gain from the weakening yen against the US dollar ¡ which declined by around 20%. We expect an improvement in EBIT margins to close to 4% in FY15 due to modest volume growth, an enhanced product portfolio and cost control. Weak Yen Benefit Fading: We expect the positive boost on profitability from a weaker yen against the US dollar to diminish for all...
