Nissan’s Pain Worsens on 99% Profit Plunge, 12,500 Job Cuts
- Drop in profit outpaces analysts’ projected estimates
- Production, model lineups to be reduced by 10% as well
This article is for subscribers only.
Nissan Motor Co. more than doubled its planned job losses and unveiled fresh production cuts after reporting a 99% plunge in earnings, hurt by an aging product lineup and a slide in vehicle sales in the U.S. and Europe.
About 12,500 jobs, mostly in manufacturing, will be eliminated globally, the Yokohama-based automaker said in a statement Thursday. That represents about a tenth of Nissan’s workforce, and far exceeds the 4,800 reductions announced in May. The drop in fiscal first-quarter operating profit outpaced the 66% decline anticipated by analysts.