Nissan reported an operating profit of ¥80 billion for the first half of fiscal 2026, reversing a ¥27.7 billion loss a year earlier. However, the automaker lowered its full-year global sales forecast, citing weaker demand, faster adoption of new energy vehicles (NEVs) and growing competition in China.
For the six months ended September 30, revenue increased by ¥493.3 billion year on year to ¥6.072 trillion. Net loss narrowed significantly to ¥39.7 billion from ¥221.9 billion in the previous year.
Nissan Surpasses 1.25 Million Electrified Vehicle Sales in Europe
Nissan maintained its full-year operating profit forecast at ¥200 billion, according to its November 11 results announcement.
Cost Savings Support Profit Recovery
The company attributed its improved operating performance partly to its Re restructuring programme, which generated ¥110 billion in additional cost savings during the first half.
Second-quarter operating profit, however, fell to ¥2.1 billion from ¥51.5 billion a year earlier. Nissan said the decline reflected the absence of lower US emissions-related expenses that had benefited the previous year’s results.
The company reported approximately ¥800 billion in automotive net cash and ¥2.2 trillion in cash and cash equivalents.
China Competition Drives Lower Sales Outlook
Nissan reduced its global sales forecast for fiscal 2026 to between 2.97 million and 3 million vehicles, down from its previous projection of 3.15 million.
While the company raised its outlook for the US and Japan, weaker demand and the faster-than-expected transition to NEVs are creating additional pressure. Competition in China remains a particular challenge.
Nissan is adjusting internal combustion engine production and dealer inventories in China while accelerating its N-series NEV lineup and expanding exports.
New Hybrid and Electric Models Planned
Nissan expects second-half operating profit of ¥120 billion, supported by higher sales volumes, new model launches and an improved product mix.
Upcoming models include the Rogue Hybrid in the US, the Frontier Pro plug-in hybrid in Mexico and the Pixo electric vehicle in Europe. The company also plans to unveil the Juke EV for the European market.
“In the second half, we expect momentum in Mexico and new opportunities from our EV offensive in Europe,” CEO Ivan Espinosa said.
The results highlight Nissan’s improving cost performance, although its reduced sales forecast underscores the challenges of competing in an increasingly electrified global automotive market.