Nissan’s new CEO Ivan Espinosa faced a stormy debut during his first annual shareholder meeting on Tuesday, as frustrated investors grilled him over the carmaker’s deep financial troubles, mass layoffs, and a failed merger attempt with Honda.
The three-hour session at Nissan’s headquarters in Yokohama saw Espinosa navigating tough questions about the past year’s devastating net loss of ¥671 billion ($4.6 billion), the slashing of 20,000 jobs, and the closure of seven of the company’s 17 manufacturing plants worldwide.
These decisions, although mostly made before Espinosa’s appointment in April, cast a long shadow over the meeting. Investors demanded clarity on how Nissan plans to recover and questioned whether the leadership has a concrete roadmap for revival.
“We understand your frustration,” said Espinosa, addressing shareholders directly. “It will not be easy to deliver. But I am confident that we have what we need to rebuild our company.”
The failed alliance talks with Honda added to the tension, raising further doubts about Nissan’s strategic direction in an increasingly competitive and electrified automotive landscape. Espinosa, however, reiterated his belief in the brand’s core strengths and the company’s potential to turn things around, signaling that changes would be steady but deliberate.
FAQs
Q1: Why is Nissan facing such heavy losses?
A: Nissan reported a ¥671 billion ($4.6 billion) net loss for the fiscal year ending in March 2025, largely due to global market slowdowns, weak sales in key regions, and restructuring costs from plant closures and layoffs.
Q2: What are Nissan’s next steps for recovery?
A: CEO Ivan Espinosa outlined a cautious but committed recovery plan focused on operational efficiency, rebuilding trust with stakeholders, and realigning the company’s product strategy—especially toward electric and hybrid vehicles.
