Nissan warned that it would publish total loss as ¥ 750 billion ($ 5.3 billion) for the financial year that ended in March – an annual deficit record – if the repairs payments are weighing on the Japanese car manufacturer.
Along with the aging layer, Nissan has been slowing down his cars to prevent inventory, making a profit. Analysts on average were making a loss of ¥ 112 billion, which in itself was worse than the original Nissan view at a deficit of ¥ 80 billion.
The weakest result than expected will put pressure on the Nissan to find another way after efforts to mix with Honda Officially ended Early this year. That led to the dismissal of Chief Executive Officer Makoto Uchida, who said it would be “hard to live” without cooperating with some kind.
While Nissan raised its sales forecasts at the end of Thursday, the company warned that its total loss could be 700 billion to ¥ 750 billion.
The company's shares increased as 3.1 percent on Friday as other analysts noted that there had been an improvement in the Automaker money position. The reserve is still down 29% since January.
Nissan “eventually acknowledges the inevitable, so that's a good thing,” Bloomberg analyst Tatsuo Yoshida said. “The market was already expecting a huge loss.” Yoshida added that when the Japanese automaker deals with its losses to restart, that “does not mean that the future is fierce.”
Citigroup analysts said the weakness was equivalent to about 10% of the visible properties of Nissan and invisible.
“Nissan was focusing on the cost structure that could provide even the manufacture of 3.5 million units but plans to further improve the breaking point,” Aralumi Yoshida of Citigroup wrote in a letter. At the end of March, Nissan's cash stood ¥ 1.49 trillion, from ¥ 1.24 trillion to the end of December and “we see improvement as good.”
Car manufacturer's sale decreases in America and China when facing $ 5.6 billion in Debt responsibilities Next year. Nissan loan swaps increased dramatically on Friday morning. Considering the challenges of flexibility and the cost of securities, “full recovery in the financial year 2025 seems likely,” Hiroki Ukida, a loan analyst in the Daiwa guarantee group said.
Nissan also does not have a large layer of hybrid cars to provide customers in key markets and has been involved in the chaos of management and evil since former chairman Carlos Ghosn was arrested and fired in 2018.
Uchida, 58, went down last month to take on Nissan's misfortune and replaced by Ivan Espinosa, who had previously held the crown of the Chief Planning Officer for one year.
Espinosa, 46, faces the inevitable task of hindering Nissan's wealth, entertaining his old column and finding new business partners. He will also have to move around the chaos caused by Donald Trump's 25% tariffs on the car and parts imported in America.
Working revenue is now expected to be ¥ 85 billion, down from an early ¥ 120 billion forecast, Nissan said. The net sale is likely to come ¥ 12.6 trillion instead of ¥ 12.5 trillion, according to the company.
This story was previously shown Bahati.com