TOKYO ― Nissan sharply trimmed its outlook for a full-year loss on Thursday and reported a surprise profit in the third-quarter, as the struggling Japanese automaker's turnaround appears to be gaining traction.
Nissan is fighting to right itself after years of turmoil. Under CEO Ivan Espinosa it has laid out a sweeping turnaround plan that includes reducing its global manufacturing footprint and cutting its workforce by 15 percent. It remains in talks to collaborate with rival Honda, which has been clobbered by restructuring costs of its own. The two carmakers last year walked away from merger talks that would have created a $60-billion automotive powerhouse.
Espinosa told an earnings briefing that Nissan remained committed to fiscal discipline. The latest discussions with Honda were mostly focused on how the two manufacturers could cooperate in North America, Espinosa said. Both automakers have been badly hit by US tariffs under President Donald Trump.
Nissan now expects an operating loss of 60 billion yen ($390 million) for the year to the end of March, compared with its previous outlook for a 275 billion yen shortfall.
It reported a 44-percent fall in operating profit to 17.5 billion yen for the October-December quarter, reflecting strong headwinds from US tariffs.
That was, however, better than the 81 billion yen loss in forecast by six analysts in survey by LSEG.
