Nissan has announced a net loss of 671 billion yen (US$6.2, or RM27.1 billion) for the year ended in March, a dramatic swing from the 319 billion yen (RM12.9 billion) profit it had recorded the year before.
The result is the beleaguered automaker‘s worst financial performance since 1999, when it lost 684 billion yen (RM27.6 billion at the current exchange rate) amid a restructuring plan that was initiated by former boss Carlos Ghosn, the Nikkei reports. It also exceeds the 233 billion yen (RM9.4 billion, current rate) net loss it recorded in 2008, a year marked by the global financial crisis.
It said the 2019 result included 603 billion yen (RM24.4 billion) in costs associated with restructuring and impairments as it “focused on operational and efficiency improvements to transform the business.”
“The global Covid-19 pandemic substantially impacted Nissan’s production, sales and other business activities in all regions,” the automaker said via a statement, but added that it had sufficient liquidity to steer through the challenging business environment.
Last week, it was reported that Japan’s third-largest automaker was set to cut over 20,000 jobs, which would represent a 15% reduction of its 139,000 global workforce, in a bid to reduce costs. It has already shuttered its manufacturing operations in Indonesia and is phasing out of its Datsun sub-brand, and is now closing its Spanish assembly plant, located in Barcelona. The closure will result in a loss of 2,800 jobs.
The annual financial result comes a day after the company and alliance partners Renault and Mitsubishi Motors revealed plans to make their global operations more efficient, turning away from a focus on sales growth.
Despite a rocky period that threatened to severe the relationship, both Nissan and Renault have reaffirmed their commitment and have introduced new initiatives as part of a new cooperation business model.
The automaker sold 4.79 million vehicles in its latest financial year, a drop of 13% from last year. In fiscal 2017, it achieved a record 5.79 million units in global sales.
Looking to sell your car? Sell it with Carro.
Time for Ghosn to come and rescue Nissan… oh wait, why tempt fate and go back into the Croc’s mouth again?
Nissan, business sometimes goes up, sometimes goes down. This applies to other car manufacturers in the world. McLaren nowdays almost bungkus but resorted to retrenchment.
However, there are a few unique businesses that only goes up, up and up. They are:
petrol station biz.
Tolled road concesionaire.
All *ahem* in BolehLand.
nissan will die
Later honda hater will say honda will die first and start sharing all same and copy fake stories.
Sales is bad for all car brands, there are sales men who trying to shoot competitive brands just hope their sales will increase. Kasihan.
Lolz!
Don’t mess with the Ghosn
O that fugitive, must be snacking Super Ring now
I think it’s time for Nissan owners to show support and to donate.
Donate to save Nissan! Yuk yuk yuk
Even without the pandemic, Nissan would still post a loss. As early as Nov 2019, it posted a 50% drop in net profit.
The profit gone with Ghosn.
When you get greedy and kill the goose laying the golden eggs…..
Karma….
Finding capable dealers is important too. If u have partners like Tan Chong Motors in Malaysia, u are grateful u still in business for 20 years. It should be out of business a very long time ago!
Tan Chong’s problem is stem from hiring uneducated trolls to run their sales operation. Come PT and see how uneducated are their comments. Only uneducated people can sell to uneducated people and this segment is shrinking fast. Nissan sales is doomed unless they get rid of these jokers.
Smart consumers already started to Run away & avoiding any Nissan cars. That’s the result from all those boycott. Nissan cut corners product like “plastic timing belt” is a joke for those who knew it.
good to know you watch DONUT MEDIA videos.
but please, read up more first.
While ghosn fixed Nissan, however the brand never returned to its glory made to last reputation.. The focus on volumes kinda diluted the brand, reliability has been an issue with Nissan and cheapness has been slowly degrading the brand..Nissan needs to go back to its roots and pull itself away from how the europeans makes cars.. Just made to last its warranty mentality..