Japanese carmaker Nissan trims losses as financial outlook improves for 2025

Japanese carmaker Nissan Motor has revised its financial outlook for the 2025 fiscal year, signalling a stronger-than-expected performance driven by regulatory changes, cost discipline, and favourable currency movements.

The company announced that its operating profit forecast has been significantly upgraded from a previously projected loss of ¥60-billion (R6.2 billion) to a positive ¥50-billion for the financial year ending March 31, 2026.

This marks a notable turnaround from earlier expectations and shows that operational conditions have improved across key markets.

Carmaker’s cash position strong 

According to Nissan, a once-off positive impact stemming from changes to emissions regulations in the US largely drives the revised outlook.

These regulatory adjustments, combined with ongoing cost-cutting measures and supportive foreign exchange rates, have helped stabilise the company’s earnings trajectory.

Revenue is also expected to benefit from currency tailwinds, with Nissan now forecasting full-year net revenue of approximately ¥12-trillion.

Despite this improvement, the company still anticipates a net loss, although it has narrowed its projection from ¥650-billion to ¥550-billion.

The carmaker’s cash position remains a bright spot. Nissan expects its automotive free cash flow to turn positive in the second half of the fiscal year, in line with earlier plans.

Automotive net cash is projected to exceed ¥1-trillion by year-end, underlining a relatively strong liquidity position as the company navigates a complex global operating environment.

The revised outlook comes at a time when Nissan continues to reposition itself globally amid intensifying competition, particularly in the new energy vehicle space where Chinese manufacturers are gaining ground.

Changes at Rosslyn plant

In South Africa, the Japanese brand is also entering a period of strategic transition.

Nissan is in the process of handing over its Rosslyn plant in Pretoria to Chery International from 2027, marking a significant shift in the local automotive manufacturing landscape.

On Saturday, Ke Chuandeng, president of Jetour International, confirmed to Sunday World Motoring on the sidelines of Auto China 2026 in Beijing that the Jetour T2 will be one of the models produced at the Rosslyn facility once the transition is complete.

The development signals a new chapter for the Rosslyn plant, which has long been a cornerstone of Nissan’s manufacturing footprint in South Africa.

Under Chery’s stewardship, the facility is expected to help the Chinese group expand its presence in the local and broader African markets.

For Nissan, the improved financial outlook offers some relief as it restructures operations globally while preparing to exit local production in South Africa.

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  • Japanese carmaker Nissan Motor has revised its financial outlook for the 2025 fiscal year, signalling a stronger-than-expected performance driven by regulatory changes, cost discipline, and favourable currency movements.
  • The company announced that its operating profit forecast has been significantly upgraded from a previously projected loss of ¥60-billion (R6.2 billion) to a positive ¥50-billion for the financial year ending March 31, 2026.
  • This marks a notable turnaround from earlier expectations and shows that operational conditions have improved across key markets.
  • Carmaker’s cash position strong  According to Nissan, a once-off positive impact stemming from changes to emissions regulations in the US largely drives the revised outlook.
  • These regulatory adjustments, combined with ongoing cost-cutting measures and supportive foreign exchange rates, have helped stabilise the company’s earnings trajectory.
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