Nissan Motor Co. deepened its first-half losses as currency headwinds and tariff expenses overwhelmed cost-cutting efforts, prompting the automaker to accelerate factory closures and asset sales under its Re:Nissan recovery program.
The Yokohama-based manufacturer reported an operating loss of ¥27.7 billion ($181 million) for the six months through September, compared with a ¥32.9 billion profit a year earlier. Net losses widened to ¥221.9 billion. Revenue declined to ¥5.58 trillion from ¥5.98 trillion.
Global vehicle sales fell 7.3% to 1.48 million units, though North American deliveries climbed 2% on stronger demand for the Kicks and Rogue models. The company’s China operations showed improvement after June, with the N7 electric sedan supporting volume growth.
Currency movements shaved ¥65 billion from earnings as the dollar, Canadian dollar, Argentine peso and Turkish lira weakened against the yen. Tariff expenses totaled ¥150 billion. Without these factors, Chief Financial Officer Jeremy Pappan indicated results would approach breakeven.
Management maintained its full-year forecast for a ¥275 billion operating loss but declined to provide net income guidance, citing ongoing evaluation of restructuring measures. The company has identified ¥200 billion in variable cost reductions and achieved ¥80 billion in fixed cost savings during the half.
Nissan completed a ¥97 billion sale-leaseback transaction for its global headquarters and confirmed closure plans for six production facilities, including ending vehicle assembly at its COMPAS plant in Mexico by month-end.
