Nissan revises down its earnings forecast with bigger losses

TOKYO – Nissan expects to rack up a nonaccomplishment totaling 700 cardinal yen ($4.9 billion) to 750 cardinal yen ($5.3 billion) for the fiscal twelvemonth done March due to the fact that of declining income and the losing worth of its assets, the embattled Japanese automaker said Thursday.

Nissan Motor Corp. was already expecting reddish ink, but the projected nonaccomplishment for the twelvemonth was antecedently little astatine 80 cardinal yen ($561 million).

It said the outgo of impairments — which notation to the mislaid worth of assets — exceeded 500 cardinal yen ($3.5 billion) and came aft a reappraisal of accumulation assets successful North America, Latin America, Europe and Japan.

Annual income person besides declined, with an expected 3.35 cardinal vehicles, less than the 3.4 cardinal vehicles projected successful February.

Nissan, which makes the Altima mid-size sedan and Infiniti luxury models, reports net results May 13.

The company, based successful the larboard metropolis of Yokohama, has been slashing accumulation astatine its U.S. plants and offering buyouts to mill workers there.

Some analysts judge Nissan’s lineup is not appealing enough, causing income to shrink successful large markets similar the U.S. and China.

Despite being a pioneer successful EVs with the Leaf, which went connected merchantability successful 2010, Nissan has fallen down the contention successful EVs, arsenic good arsenic hybrids, to almighty rivals similar Tesla successful the U.S. and Byd of China.

Nissan stressed its coagulated currency position. It expects to extremity the fiscal twelvemonth 2024 with nett currency of astir 1.5 trillion yen ($10.5 billion), arsenic good arsenic 3.4 trillion yen ($24 billion) successful liquidity.

“Despite these challenges, we person important fiscal resources, a beardown merchandise pipeline and the determination to turnaround Nissan successful the coming period,” Chief Executive Ivan Espinosa said successful a statement.

Espinosa, who replaced Makoto Uchida arsenic caput of Nissan connected April 1, has vowed to marque the institution nimbler.

Earlier this year, Nissan ended the talks it was holding with Japanese rival Honda Motor Co. s ince past twelvemonth to integrate their concern and acceptable up a associated holding company. The automakers volition proceed to enactment unneurotic connected electrical vehicles and astute cars, including autonomous driving.

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Yuri Kageyama is connected Threads: https://www.threads.net/@yurikageyama

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