Mazda’s earnings stumble

Mazda’s earnings in the most recent quarter have fallen victim of the COVID-19 pandemic. Forced to suspend production and facing a collapse in sales affecting the entire industry, Mazda reported a fiscal year fourth quarter net loss of $188.3 million (20.3 billion yen). The fiscal year fourth quarter for Japanese automakers refers to the January to March period.

U.S. sales had been improving before the pandemic struck. Based on strong demand for Mazda’s crossover vehicles, they were up 19 percent through February. However, the closures that took place in March brought that to an end. Mazda’s sales here declined 4.5 percent in the first quarter. That, however, was better than the overall market, which was down 13 percent during the same period. Noting the continuing problems arising from the pandemic, Mazda refrained from issuing an earnings forecast for the current fiscal year, which will end on March 31, 2021.