Nissan HQ, 2014 file photo. Kakidai / CC BY-SA 4.0; cropped.
Nissan cut its annual vehicle-sales forecast Wednesday as weaker demand and tougher competition in China clouded its recovery, while operating profit for the July-September quarter fell nearly 96% from a year earlier.
The Yokohama-based automaker now expects to sell between 2.97 million and 3 million vehicles globally in fiscal 2026, down from its previous forecast of 3.15 million. Nissan raised its sales outlook for the United States and Japan, but said China’s weaker demand, faster-than-expected shift toward new-energy vehicles and intensifying competition would more than offset that momentum.
Quarterly operating profit dropped to ¥2.1 billion from ¥51.5 billion, according to Nissan’s financial results. The company attributed the decline mainly to the absence of a benefit from lower US emissions-related expenses that helped the year-earlier quarter.
Revenue for the quarter rose 8.2% to ¥3.108 trillion. Nissan’s net loss narrowed to ¥43.5 billion from ¥106.2 billion, mainly because restructuring-related items were lower.
Despite the sales downgrade, Nissan kept its full-year operating-profit forecast at ¥200 billion and said it expects ¥120 billion of that in the second half. It expects higher sales volumes, new models and a better mix of vehicles to support earnings, alongside further savings from its Re:Nissan restructuring program.
The six-month results show a different picture from the weak second quarter alone. For the first half ended September 30, operating profit reached ¥80 billion, compared with a ¥27.7 billion operating loss a year earlier. The first-half net loss narrowed to ¥39.7 billion from ¥221.9 billion, while revenue rose to ¥6.072 trillion from ¥5.579 trillion.
Nissan said its restructuring program delivered ¥110 billion in additional first-half cost savings. It reported global sales of 1.41 million vehicles for those six months, approximately ¥0.8 trillion in automotive net cash and ¥2.2 trillion in cash and cash equivalents.
In the United States, Nissan said demand for locally produced Rogue, Frontier and Pathfinder models helped sales. In China, the company is adjusting production of vehicles powered by internal-combustion engines and dealer inventories while accelerating its N-series new-energy vehicle lineup and expanding exports.
“China remains our most significant challenge, and we need to remain agile,” Chief Executive Ivan Espinosa said. Nissan plans to announce a new business plan in February 2027, setting out the next stage of its recovery.
JBizNews Desk | Yokohama
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