Nissan slashes profit forecasts after inspection scandal

Tokyo

JAPANESE car giant Nissan on Thursday slashed its forecast for full-year operating profit after admitting that a damaging inspection scandal last year had "adversely impacted" the firm's performance.

Nissan said it now expects operating profit of 565 billion yen (S$6.9 billion) for the fiscal year to March 2018, a drop of 12.4 per cent from its previous estimate in November. "During the period, the group's performance was adversely impacted by special items related to the final vehicle inspection issue in Japan, along with slowing sales growth, negative pricing trends and inventory adjustments in the US market," it said in a statement.