If there’s a global auto industry executive that no one envies right now, it’s Ivan Espinosa.

The chief of Nissan has the unenviable task of trying to lead the company’s climb from a hole dug by his predecessors; a job not made easier by the collapse of merger talks with Honda, challenges in the rapidly changing Chinese market, and the tariffs in the United States.

Recently, the Nissan CEO held a press conference outlining the company’s financial results for FY2025 Q3 and YTD. As you may already be familiar, the Fiscal Year (as used by many major corporations, particularly in Japan) is from 1 April to 31 March of the next year; that means technically we are still in the fourth quarter of FY2025.

The report for the first three quarters of FY2025 is still pretty much red. Sales were pegged at 2.26 million vehicles, a decline from 2.397 million in the same period of FY2024. Net revenue is down to JPY 8.578 trillion (about USD 56.05 billion) from JPY 9.143 trillion (about USD 59.756 billion) in FY2024. In terms of net income, Nissan reported JPY 5.1 billion (USD 33.313 million) for Q1-Q3 FY2024, but in Q1-Q3 FY2025, it posted a loss of JPY 250.2 billion (loss of USD 1.634 billion).

The company’s problems stem from decreased global demand, particularly in China, where domestic Chinese OEMs have capitalized on the EV revolution there. In the US, tariffs have also cut down their profits significantly, even though the current administration has lowered the rates. In markets such as Southeast Asia, Nissan is also encountering difficulties, particularly with models that are aging compared to their rivals.

Nissan CEO Ivan Espinosa

Internal challenges also played a major role, particularly the very public scandal and escape involving former CEO Carlos Ghosn. There was also the collapse of the talks with Honda for a merger. Nissan insiders stated that Honda came to the negotiating table wanting to dictate things to Nissan as if they were “parents”. Understandably, Nissan didn’t take too kindly to that.

But even though the news isn’t great, could there be some light at the end of the tunnel?

Nissan says that it is revising their outlook for FY2025. At the end of October 2025, Nissan said their forecast was a net revenue of JPY 11.7 trillion (about USD 74.423 billion) and an operating profit (well, loss) of JPY -275 billion (about USD -1.796 billion). Nissan now says that the forecast has been improved to net revenue of JPY 11.9 trillion (about USD 77.75 billion) while the operating profit forecast has been raised to JPY -60 billion (about USD -392.023 million). Still not great, but definitely better.

The revision is attributed to the rapid changes being made within the company. They are cutting manufacturing plants worldwide, with about seven set for closure. There will be a lot of jobs lost in the manufacturing sector, and the company is pursuing enhancements to make them more efficient and to maximize their other factories.

There may even be some exciting new models from the company coming soon; news that will certainly boost the brand in markets like, well, the Philippines.

More on that last bit soon.