Nissan Posts JPY 115.8 Billion Net Loss in Q1 FY25, Stops Production at CIVAC Plant

Nissan’s financial woes continue with a reported net loss of JPY 115.8 billion in the first quarter of Financial Year 2025.

Nissan’s financial woes are getting worse, as the company recently announced its financial results for the first three months of the Financial Year 2025 (FY2025), starting from April 1 to June 30 this year. During said period, the Japanese automaker posted a net loss of JPY 115.8 billion (RM3.308 billion), with a giant chunk of JPY 79.1 billion (RM2.259 billion) coming from their operating loss alone.

That being said, Nissan still posted a revenue of JPY 2.7 trillion (RM77.130 billion) throughout Q1 FY25, which is a 10% decrease compared to the same period in the previous financial year (Q1 FY24).

Nissan President & CEO Ivan Espinosa (left) at Nissan's Q1 FY25 Financial Results outlook presentation.

Although its net loss has exceeded the JPY 100 billion mark, Nissan says in its official release that the company remains positive about retaining its FY25 net revenue target of JPY 12.5 trillion. That being said, the company didn’t release its expected operating profit, net income, and automotive free cash flow “given the difficulty in forecasting the business environment surrounding the company at this time.”

For Q2 FY25, the projected numbers include a consolidated net revenue of JPY 2.8 trillion (RM79.987 billion), plus an even higher operating loss of JPY 100 billion (RM2.856 billion) and a negative automotive free cash flow of JPY 350 billion (RM9.998 billion).

In terms of global sales, the Yokohama-based automaker has delivered a total of 1,613,797 units in the first six months of 2025, marking a 5.7% decrease over the same period in 2024. Total exports from Japan are down by 17.8% to just 158,859 units so far this year, while its global production has dropped by 10.8% in 1H 2025 to 1,439,040 units compared to 1,614,112 units recorded in 1H 2024.

Nissan CIVAC plant in Cuernavaca, Mexico

Speaking of productions, Nissan is also planning to stop production at its CIVAC plant in Cuernavaca, Mexico, with its total production to cease by March 2026, which is the end of Nissan’s FY25.

And just like the recently-closed Oppama plant in Japan, the CIVAC plant is also one of the company’s most historic production sites, as the Mexican plant began operations way back in 1966, making it Nissan’s first production site outside of Japan.

Nissan Versa (left) & Nissan Frontier (right)

To date, the Nissan CIVAC plant has produced more than 6.5 million vehicles, with the first model to roll off its production line being the Nissan Bluebird back in the 1960s. Currently, the plant makes about 11% of Nissan’s total production in Mexico and is in charge of assembling models like the Versa (also known as Almera), Frontier, and NP300.

In its official statement, Nissan says that the neighbouring COMPAS (Cooperation Manufacturing Plant Aguascalientes) plant in Mexico will take over production of models currently built at the CIVAC plant once it goes offline next year.

The CIVAC plant in Mexico will be the third Nissan plant to cease its production, with the other two being located in Japan, namely the aforementioned Oppama plant, which is due to go offline in March 2028, and the Shatai Shonan site earlier in March 2027.