Nissan will cut 12,500 jobs after its profits plunged 99%

Hong Kong (CNN Business)Nissan warned last quarter that it was at "rock bottom." Now it's even more clear that its problems aren't going away anytime soon.

Japan's second biggest automaker on Thursday said profits were almost completely wiped out in the first quarter of its fiscal year. Operating profit plunged 99% in the quarter compared to a year earlier.

Revenue, meanwhile, dropped nearly 13% compared to a year ago.
Nissan (NSANF) said it will slash roughly 12,500 jobs from its workforce worldwide. That's more than twice as many as the company was reportedly expecting to cut in May.
The company added it will reduce its product lineup by at least 10% by the end of fiscal year 2022.

"This is a crude description, but loss-making overseas facilities would be the main targets," CEO Hiroto Saikawa said during Thursday's earnings presentation. He also revealed that the company had already suspended manufacturing lines in Indonesia and Spain.

Saikawa declined to specify other locations that will be affected by the cuts. Earlier this year Nissan ended the production of two luxury vehicles in the United Kingdom, dealing yet another blow to an industry that has been rocked by weak sales and fears over Brexit.

Nissan, like other global carmakers, faces severe challenges. A sluggish global economy has hurt sales, and the US-China trade war remains a big risk for manufacturers. New emission standards, driven in part by the climate crisis, have also disrupted the industry.

But Nissan has also been grappling with problems of its own. It has been losing market share in the United States and Europe. In the first quarter, for example, the company sold 351,000 units in the United States, giving it 7.9% of the market. It had 8.1% a year earlier. Nissan sales in Europe, including Russia, fell more than 16% in the quarter compared to a year ago.

The company is also still trying to move on from the dramatic arrest last year of former chairman Carlos Ghosn, whose legal troubles in Tokyo are far from over.

Though he has denied the charges against him, Ghosn's indictments have placed enormous strain on the alliance he created between Nissan, Renault (RNLSY) and Mitsubishi Motors. All three companies have renewed their commitment to the partnership, but the tensions have not gone away.

https://www.cnn.com/2019/07/25/busi...Dive [issue:22100]&utm_term=Supply Chain Dive

 

Sucks to be NISSAN

 

Well when you create the ugliest line up of cars in the world... by any manufacturer, it's bound to catch up to you.

 

I'm certainly not a Nissan fan but that GT-R is pretty sweet.

 

Yes it is. And that is the only good looking car in their entire line up. And it probably doesn't even profit.

 

I do like the look of their Maxima and the Altima back in the day when we had one drove nice. 350 HP RWD. That car ran fast. But after that lease experience and they way the dealership treated off I swore off Nissan and Infinity off any consideration for a vehicle from them.

 

Yeah, all their cars looked normal and some pretty good a generation or two ago. But they screwed them all up. I was in love with the 300Z in the 90's. New generation Z isn't horrible, but previous generations definitely looked better.

Cars like the leaf, murano, rogue, titan, juke, all their vans... I wouldn't drive it if someone gave it to me for free.

 

I owned a 2003 Sentra and I’ll never own another Nissan again

 

Owned a 2013 Altima for several years. It was the first year their new redesign came out. It was a nice looking car inside and out, and the initial quality was good. However, it started having little issues here and there after the first year and I absolutely hated the CVT drive. Swore I wouldn't own another Nissan for a long time, or even think about another CVT drive vehicle again. So this doesn't surprise me.

 

Face it though, if you can afford one you can afford to have someone else service it.

 

Yup...
https://www.liveleak.com/view?t=khuuJ_1564231143

 

I don't understand what went wrong...

 

Yeah, you probably don't want a Porsche then, lol.

 

The Titan is badass, you can tell cause it says XD right on it.

 

It's still on my list.

 

The rims look sort of kuul....

 

Fugly trucks don’t sell!!!!

 

They're all fugly to me. I just want something that will tow and not shit the bed.

 

“Climate crisis”

 

I would have bet money that was Honda.

 

Renault - Nissan:
Renault holds a 43.4% stake in Nissan, while Nissan owns 15% of Renault shares. Each company has a direct interest in the results of its partner. In October 2016 Nissan acquired Mitsubishi Motors for $2.3 billion. Nissan also revived Datsun in 2013 and owns the performance brand Infiniti.

 

Not all of Nissan's car is ugly or bad.

The VQ engines are legendray and will live on for years to come.

• Infiniti G35-37
• 1990 Nissan Maxima to 2003 - all these years had and still have a major followers, forums full of people still driving 90's maxima's.
  
• The legendary GTR - Put Nissan's name back on the map upon reintroduction in 2007, for $70,000 you got 479hp all wheeldrive killed lamboganies for breakfast. it wasn't called Godizilla for nothing.

My point is that Nissan made a lot of good cars and did very well for itself in those years however i think that the C.V.T tranmission issues are playing a majoy role in their sales. CVT's are garbage. From 2012 to 2018, several models of Nissan vehicles received the transmission, including the Sentra, Versa, Versa Note, Altima, Rogue, and Murano models, Nissan Pathfinder, Infiniti QX60/JX35. My friends 2013 nissan altima tranmission failured at 97,000 miles, mostly highighwayles. I think nissan recalls and law suits had lots of the working class american's walking way from Nissan because of that.