Nissan (NSANY) , benefiting from a weak yen and strong U.S. sales, exceeded analysts' expectations and raised its profit outlook for its fiscal year ending in March after posting a 38.4% increase in quarterly earnings. 

The Japanese automaker is facing a slowdown in China, the world's biggest market. Nissan is the best-selling of the Japanese automakers in that country. 

Nevertheless, Nissan said it expects to post $4.4 billion (535 billion yen) net income for the fiscal year, up from a 485 billion yen estimate in May. 

Hiroto Saikawa, the automaker's chief competitive officer, said "there are negative impacts from emerging markets, but we expect strong sales growth in developed markets that would outweigh the slowdown." 

In the U.S., Nissan is enjoying a robust automotive market, strong demand for SUVs and crossovers such as its midsize Rogue, and a rising share of the market, drawing it closer Honda (HMC) - Get Report , its next-biggest rival. 

Seiji Sugiura, an analyst at Tokai Tokyo Research Center, introduced a note of caution: Nissan "can't count on the U.S. forever because the market will peak out and their model mix will deteriorate." 

Nissan shares have performed well in 2015, outpacing Japan's Nikkei 225 Index. Since January, Nissan stock has increased 17.3% in value, compared to 7.1% for the Nikkei. Toyota (TM) - Get Report stock has fallen 2.3% over the same period. 

Japanese exporters, including automakers, have been posting record profits during the tenure of Prime Minister Shinzo Abe. Under Abe, Japan's central bank has weakened the country's currency, prompting complaints from foreign manufacturers that compete with the country's products. Nissan, like Honda and Toyota, builds most of the vehicles it sells in the U.S. in factories based in North America. 

Saikawa said at a financial briefing on Monday that Japan's government "fully supports" Nissan's concern with France's rising influence on the alliance between Nissan and French carmaker Renault  (RNSDF) . The French government has proposed raising its voting control over Renault, which in turn controls Nissan through ownership of nearly half of the Japanese company. 

Renault rescued Nissan from bankruptcy in 1999 with a capital infusion. Since then, Nissan has grown in value -- it's now nearly twice that of Renault, in terms of market capitalization. 

For the past 16 years, Carlos Ghosn -- who acts as CEO of both automakers -- has deftly managed an alliance between the two. Nissan and Renault collaborate on a number of projects, thus saving time and capital investment, while maintaining independence in many operations. German carmaker Daimler has joined the alliance. Lately, Ghosn has been pushing the two companies closer together to share even more. 

"What we somehow want to realize is that Renault continues to have autonomy and keep its position as our partner," Saikawa told The Wall Street Journal.

Doron Levin is the host of "In the Driver Seat" on SiriusXM Insight channel 121, broadcast Saturday at noon, encore 9 a.m. Sunday.

The writer has no financial interest in the aforementioned companies.