Nissan Motor has projected a net loss of between 700 and 750 billion yen (approximately $4.91 to $5.26 billion) for the fiscal year ending in March. This record loss estimate is attributed to significant impairment losses recorded as part of its global restructuring efforts.
This new estimate represents a sharp revision from the company’s previously announced loss of 80 billion yen and could be the largest annual loss in Nissan’s history. The announcement comes amid a major recovery strategy launched under the leadership of recently appointed CEO Ivan Espinosa. This strategy includes; This includes layoffs, reductions in production capacity, and the closure of some factories. The company recorded asset impairments exceeding 500 billion yen in key markets such as North America, Latin America, Europe, and Japan. Additionally, restructuring costs are expected to exceed 60 billion yen.
“After a rigorous review of our performance and production assets, revising our annual expectations was a prudent step,” said Espinosa, emphasizing the importance of this process.
Nissan also announced it will not distribute dividends for this fiscal year and lowered its annual operating profit forecast to 85 billion yen, approximately 30% below the previous estimate. The company will release its official financial results on May 13.
