Suzuki projects steep fall in FY09 profits

Japanese auto maker Suzuki Motor today slashed its profit forecast to 22 billion yen ($240 million) for the fiscal year 2009 after reporting a 68 per cent plunge in net income for the nine months ended December 31, 2008.

The company has revised its profit projection to 22 billion yen for the financial year ending March 31, 2009, as compared to the earlier forecast of 60 billion yen, it said in a statement.

Suzuki has lowered its forecast for the second time in three months.

In the wake of declining sales, mainly due to the economic turbulence, the auto maker's profit plunged 68 per cent to 21.63 billion yen for the nine months ended December 31, 2008.

The profit stood at 67.68 billion yen in the year-ago period.

Further, the auto manufacturer expects net sales to the tune of three trillion yen for the fiscal year 2009 as against earlier forecast of 3.2 trillion yen.

Suzuki attributed lowered forecast for financial results to "obscure" automobile sales amid the deteriorating economic situation worldwide.