Mazda Motor Corp. reversed its earlier projection of losses Thursday, saying it likely turned a group profit for the April-September first half of this year due to restructuring efforts.
Mazda now expects a group net profit of 1 billion yen compared with the earlier forecast loss of 9.5 billion yen. It also expects a group pretax profit of 4.5 billion yen, compared with a loss of 14 billion yen projected earlier, the Hiroshima-based company.
The carmaker attributed the upward revision to larger-than-expected cost reductions and improved sales in overseas markets, as well as the yen's depreciation against the dollar.
"This is a positive indication that the company's Millennium Plan announced last year to drive Mazda back to sustainable profitability is the right strategy," the company said in a statement.
In the first half of fiscal 2000, its group net loss was 9.59 billion yen and the group pretax loss 16.67 billion yen.
The company revised down its sales estimate for the half-year from 1.07 trillion yen to 1.038 trillion yen.
The estimated sales are still higher than the 1.006 trillion yen posted in the first half of fiscal 2000.
President Mark Fields said in a statement that although the business environment remains very tough, "We are quietly confident that we are on the right track."
Mazda will announce actual first-half results on Nov. 12.
Latest Civic on way
Honda Motor Co. said Thursday it will launch its three-door Civic Type R, the latest model in its popular Civic series of passenger vehicles, on Dec. 6 in Japan.
The suggested retail price of the 2-liter model is set at 2.2 million yen.
The Civic Type R, Honda's first model made in Britain for export to Japan, meets Japanese standards for ultra-low-emission vehicles, Honda said in a release.
The monthly sales targets for the Civic Type R in Japan are set at 300 units.