Nissan revealed that its profit from April through December contracted sharply to 5.1 billion yen, a mere fraction of the 325 billion yen it earned in the previous year. Sales for the nine-month period experienced only a minimal decline, dropping less than 1% to reach 9.14 trillion yen, although the company adelantó an expected loss of 80 billion yen for the full fiscal year ending in March.
In addition to reporting these disappointing financial figures, Nissan announced on Thursday that it would discontinue the integration discussions with Honda that began in December. The original talks had aimed at establishing a joint holding company to forge deeper ties between the two automotive giants. However, Nissan’s CEO, Makoto Uchida, clarified that the negotiations had shifted focus towards a potential scenario where Nissan would become a subsidiary of Honda—a proposal that he deemed unacceptable.
Moving forward, Nissan emphasized its commitment to exploring new strategies to achieve a financial turnaround independently. The company plans to outline a detailed plan within a month, considering various options to rebuild its operations. As part of these cost-cutting measures, Nissan intends to overhaul its manufacturing processes by closing certain production lines or entire plants, along with the prospect of reducing its workforce by 9,000 jobs.