Mazda narrows losses | Ipswich Technology | Tech News for Ipswich, Australia

JAPAN'S Mazda Motor Corp says it incurred a 2.1 billion yen ($A26.9 million) net loss in the first quarter, down from Y21.52 billion ($A275.5 million) a year earlier, Kyodo news agency reported.

The results by one of Japan's top auto makers compounds a run of improved earnings results this week by blue chip companies, suggesting the country is gradually recovering from the effects of the global crisis.

Mazda said that while it took a hit in the April-June quarter from the strong yen and a one-off Y2.7 billion ($A34.6 million) loss caused by a new accounting rule, it had enjoyed robust sales in Japan, other Asian countries and the United States.

Sales increased 35 per cent to Y578.04 billion ($A7.4 billion), taking the company's operating and pre-tax balances into the black at Y6.37 billion ($A81.6 million) and Y4.14 billion ($A53 million) respectively, against corresponding losses the previous year of Y27.98 billion ($A358.2 million) and Y32.65 billion ($A418 million).

In terms of quantity, global vehicle sales increased 21 per cent to 317,000 units, including 90,000 units in North America (up 21 per cent) and 52,000 in Japan (up 27 per cent).

Mazda said it wanted to focus on marketing efforts overseas to offset the planned withdrawal in September of a government program to subsidise purchases of eco-friendly cars.