Nissan Motor(US:NSANY) 2 1 Shi Ji Jing Ji Bao Dao·2025-08-01 06:55Core Viewpoint - Nissan is facing significant financial challenges, reporting a net loss of 115.76 billion yen (approximately 5.5 billion RMB) in Q1 of FY2025, marking a shift from a profit of 28.56 billion yen in the same period last year, primarily due to currency fluctuations and U.S. tariff policies [1][8][20]. Financial Performance - Nissan's net sales for Q1 FY2025 were 2.7 trillion yen, a decrease of 9.7% year-on-year [1]. - The company reported an operating loss of 79.1 billion yen, compared to an operating profit of 9.95 billion yen in the previous year [1]. - Global retail sales fell to 707,000 units, down 10.1% year-on-year, with a notable 27.5% decline in the Chinese market [8][12]. Market Challenges - The decline in sales is attributed to intense competition in the Chinese market and a shrinking non-luxury joint venture segment, exacerbated by escalating price wars [8]. - Nissan has struggled to capitalize on the hybrid demand in the U.S. market, leading to decreased sales and revenue [12]. Strategic Responses - In response to the financial crisis, Nissan has initiated a revival plan called "Re:Nissan," which includes cost optimization measures such as laying off 20,000 employees and closing seven factories globally [17][19]. - The company plans to invest 100 billion yen in R&D for new energy vehicles and aims to launch 10 new models in China by 2027 [15][19]. Future Outlook - Nissan has not disclosed a profit forecast for FY2025 but anticipates further losses in the first half, with an expected operating loss of up to 180 billion yen [17]. - The company projects a 2.9% decline in global sales for FY2025, primarily due to an 18.2% expected drop in the Chinese market [17]. - Nissan's leadership emphasizes the urgency of the revival plan to ensure a sustainable and profitable future [20].