“Facing a severe situation, Nissan is taking urgent measures to turnaround its performance and create a leaner, more resilient business capable of swiftly adapting to changes in the market,” the company said.

Uchida said, however, that the “turnaround measures do not imply that the company is shrinking.”

“Nissan will restructure its business to become leaner and more resilient, while also reorganizing management to respond quickly and flexibly to changes in the business environment,” he said.

Nissan said consolidated net revenue for the six months ending Sept. 30 dropped by $730 million dollars to $55 billion.

Consolidated operating profit decreased $2.78 billion to $300 million.

Net income was nearly $125 million, according to Nissan. Global sales volumes dropped to 1.6 million units year-on-year and costs of operating went up, lowering profits.

Nissan’s revised 2025 outlook calls for net revenue of $116 billion with an operating profit of $1.6 million.

As part of its turnaround strategy, Nissan will name a Chief Performance Officer to oversee sales and profit effective Dec.1.

Even as these turnaround tactics are being implemented Nissan said it’s accelerating plans to “advance the introduction of new energy vehicles in China, and plug-in hybrids and e-POWER in the U.S., while simultaneously increasing sales per model to enhance model efficiencies.”

Nissan is also working to cut vehicle development lead time to 30 months while enhancing collaboration with Renault Group, Mitsubishi Motors Corporation (MMC), and Honda Motor Co., Ltd. with strategic partnerships in technology and software services.

Both Nissan and Toyota increased wages in 2024. Nissan boosted monthly wages by $122 while Toyota increases monthly wages by $193.

In 2023, Nissan and Renault reached agreement to overhaul their partnership with a restructuring that reduced Renault’s ownership stake in Nissan by 28%.