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SUZUKI REMAINS IN THE RED

Good news was conspicuously absent in three-quarterly results to 31 December 2016 for Suzuki Motor Corporation’s motorcycle division, but at least the scale of losses has been reduced,  BDN financial editor reports.

For the nine months of its fiscal year to date, global revenue from bikes was 17.2% down at £1.023bn and volume decreased by 1.6% to 759,000 units. Suzuki blamed its troubles on falling sales in Europe, North America and some emerging markets, allied to deleterious exchange-rate impacts. However, unexplained cost-elimination factors delivered an operating loss of only £26.1m, against a more painful £72m loss in the previous comparable period.

Motorcycle and ATV sales volume in Europe fell by 11.8% to 30,000 units. Associated revenue sank by 21.5% to £174.9m. In North America, volume dropped by 17.4% to 19,000 units and revenue by 32.6% to £117.9m. Asia saw volume increasing by 2.9% to 537,000 units. But, presumably due to negative currency translation, revenue suffered a 10.4% drop to £441.1m. Other areas taken together had volume and revenue down respectively by 12.5% to 126,000 units and 20.1% to £185m. Suzuki’s Japanese domestic market shrank by 2.2% to 45,000 units with revenue 8.5% in arrears at £104.4m.

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