Japanese auto company recently posted a drop pf 51% in its quarterly operating profits. Just the like the other Japanese auto companies who are too facing difficulties due to the component parts shortage because of the natural disaster which struck Japan in March, Suzuki has also refused to predict how the new fiscal year will be for their company in the midst of uncertainty regarding power and auto parts supply.
The fourth largest auto manufacturer in Japan was reportedly hit by a disruption in supply chain of auto parts ever since the March 11 earthquake and tsunami struck Japan. However as Suzuki has a lot of exposure in the Indian market, and as they source most of their products locally, they are in a far better position in comparison to Toyota and Honda.
The operating profit of the company reportedly fell by 51% to 14.48bn yen or $180mn, in comparison to last year’s profits of the period from January to March. Their Q4 net profit fell to 2.57bn yen, a drop of a whopping 81%. All four of Suzuki’s domestic motorcycle and car plants are located in the coverage area of Chubu Electric utility in central Japan, which is reportedly going to shut down temporarily.