Nissan does its part, despite the storm
It returns to profits, largely due to a successful cost reduction campaign, and the elimination of 15% of its models
Nissan returns to profits: 1,600 million euros per year until March. He is starting to put the Carlos Ghosn scandal behind him. The weakening yen has helped, but executives can take credit for a successful cost-cutting campaign, and the elimination of 15% of their losing models.
Of course, the margin, of 2.9%, is not enough to brag about (Toyota’s is almost 10%) and its performance on the stock market is much lower than that of its Japanese rivals. The problems of the supply chain and the increase in the price of raw materials make the firm foresee flat results for the next financial year. Disappointed shareholders made their ally Renault fall on the stock market. But others, like Toyota, are also affected by these drawbacks.
The relationship with the French automaker remains lopsided in its favour, with friction continuing to distract in both directions. But the stronger Nissan is, the more power it should have to renegotiate.
