Nissan sinks on deep loss forecast
Shares of Nissan fell nearly eight percent on Friday after the Japanese automaker projected a 275 billion yen operating loss for the fiscal year ending in March. The stock initially dropped 7.95 percent before paring losses to about five percent in early trading.
Nissan announced the forecast on Thursday, noting it expects a 30 billion yen operating loss for the first half of the fiscal year, which ends in September. That figure surpassed its earlier outlook, thanks to one-time gains such as reduced emissions compliance costs and delayed project expenses. The company reported a 671 billion yen net loss for the year through March 2025 and plans to reduce its workforce by 20,000 jobs, equivalent to 15 percent of its total workforce.
Chief Financial Officer Jérémie Papin said the first-half results benefited from cost cuts but warned of ongoing challenges ahead, including supply chain risks and intense competition. Nissan has lowered its full-year sales forecast to 11.7 trillion yen from an initial estimate of 12.5 trillion yen. Analysts view Nissan as especially vulnerable among Japanese carmakers to US tariffs on imported vehicles.
