Nissan expects up to £4bn net loss amid declining sales

Nissan has sharply revised its earnings forecast, now expecting a record net loss of between $4.9 billion and $5.3 billion for the fiscal year, nearly ten times its earlier projection. The company attributes this drastic downturn primarily to the declining value of its global assets, deepening sales slumps in key markets like the U.S. and China, and the high costs of a turnaround plan under new CEO Ivan Espinosa. Efforts to stabilize operations include significant cost-cutting measures, production reductions, and job cuts, with 9,000 positions slated for elimination worldwide. Analysts point to Nissan's uncompetitive model lineup and lag in electric and hybrid vehicles compared to rivals like Tesla and BYD as major factors in its struggles. Despite these setbacks, Nissan emphasizes its strong cash reserves and liquidity, and its leadership expresses determination to guide the company through this period of restructuring. The automaker has also undergone recent executive changes and called off merger talks with Honda, further highlighting its organizational challenges.