Photo: Nissan
After Carlos Ghosn was arrested in Tokyo over false accounting, Nissan finds itself in hot waters again. Following the publication of the first quarter’s results, the Japanese automaker announced that profit is down 94.5 percent year-on-year compared to 2018. As if that wasn’t enough, sales are also down by 6 percent to 1.23 million vehicles worldwide.
Even in Japan where Nissan is particularly strong, sales decreased by 2.6 percent to 126,000 units. The net income loss of 94.5 percent, however, is a biggie at 6.4 billion yen. Given these circumstances, “the company is moving quickly to optimize cost structures and manufacturing operations.”
Like every corporation with no shame towards the people who make things happen, “Nissan will reduce its global production capacity by 10 percent by the end of fiscal year 2022.” That’s 12,500 jobs down the drain, and if that wasn’t enough, the product lineup will be reduced “by at least 10 percent.”
Nissan Motor Co., Ltd. expects improvements to take time, and you know what this means in corporate talk. The future is uncertain in Nishi-Ku and the higher-ups are bracing for impact. Shares value is dropping steadily on the Tokyo Stock Exchange, but then again, we shouldn’t worry too much about Nissan.
As part of an alliance with Renault and Mitsubishi, the peeps are Nissan are well catered in terms of platforms, engines, transmissions, electrification, and semi-autonomous driving technologies. It’s one of those conglomerates which is too big to fail, even when worse eventually turns into the worst.
Nissan is no stranger to financial difficulties, and this gets us back to Carlos Ghosn. He’s the man who leveled up the alliance with Renault to new heights, and also the guy who came up with the NRP.
NRP stands for Nissan Revival Plan, which turned out to be one of the greatest turnarounds in corporate history. For his efforts with the Japanese automaker, the government of Japan awarded Carlos Ghosn a blue-ribboned medal in 2004.
Like every corporation with no shame towards the people who make things happen, “Nissan will reduce its global production capacity by 10 percent by the end of fiscal year 2022.” That’s 12,500 jobs down the drain, and if that wasn’t enough, the product lineup will be reduced “by at least 10 percent.”
Nissan Motor Co., Ltd. expects improvements to take time, and you know what this means in corporate talk. The future is uncertain in Nishi-Ku and the higher-ups are bracing for impact. Shares value is dropping steadily on the Tokyo Stock Exchange, but then again, we shouldn’t worry too much about Nissan.
As part of an alliance with Renault and Mitsubishi, the peeps are Nissan are well catered in terms of platforms, engines, transmissions, electrification, and semi-autonomous driving technologies. It’s one of those conglomerates which is too big to fail, even when worse eventually turns into the worst.
Nissan is no stranger to financial difficulties, and this gets us back to Carlos Ghosn. He’s the man who leveled up the alliance with Renault to new heights, and also the guy who came up with the NRP.
NRP stands for Nissan Revival Plan, which turned out to be one of the greatest turnarounds in corporate history. For his efforts with the Japanese automaker, the government of Japan awarded Carlos Ghosn a blue-ribboned medal in 2004.
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