Suzuki bets profits on India, yen

Japanese Suzuki Motor Corporation, that posted Thursday a lower than expected fourth-quarter operating profit, predicted a slight growth this year betting on the yen’s strength and increased investments in India and other growth markets.

The company, that reported an operating profit of 26.85 billion yen for the quarter ended on March 31, hopes to leave behind a difficult year of disasters in Japan and labour disputes in India, its largest market where sales are now headed for a rebound.

Last month, Maruti Suzuki, the Indian subsidiary of fourth-biggest automaker, posted a better than expected quarterly profit and forecast a sales growth of 10 to 12 percent in the current financial year.

Suzuki is also seen gaining from the strength in the dollar rate of the yen, that even according to the company’s conservative guidance will be 75 yen for the fiscal year, compared with around 79 yen on Thursday and the 80 yen assumed by most of its Japanese rivals