The struggling automaker is trying to steady the ship and that means plant closures and selling assets
8 minutes ago
by Michael Gauthier
- Nissan has sold its headquarters in Yokohama, Japan.
- The company is now leasing it back for the next 20 years.
- Following steep cuts, Nissan is shifting focus to products.
Nissan has been making a lot of tough decisions as the company seeks to reverse its dwindling fortunes. While most of these efforts have focused on plant closures, the company has has also made a quieter but equally symbolic move: selling its global headquarters.
**More: [Nissan Shuts Down One Of Its Most Historic …
The struggling automaker is trying to steady the ship and that means plant closures and selling assets
8 minutes ago
by Michael Gauthier
- Nissan has sold its headquarters in Yokohama, Japan.
- The company is now leasing it back for the next 20 years.
- Following steep cuts, Nissan is shifting focus to products.
Nissan has been making a lot of tough decisions as the company seeks to reverse its dwindling fortunes. While most of these efforts have focused on plant closures, the company has has also made a quieter but equally symbolic move: selling its global headquarters.
More: Nissan Shuts Down One Of Its Most Historic Sites Amid Sweeping Cuts
As part of their first-half results presentation, the automaker gave an update on their Re:Nissan plan that aims to “achieve positive automotive operating profit and free cash flow by fiscal year 2026.”
The company said it has already identified roughly 200 billion yen ($1.3 billion) in potential savings and is now “moving from concept to implementation.”
How Far Will The Cuts Go?
Nissan then mentioned they’re optimizing non-core assets. This includes the sale of their global headquarters in Yokohama. Few details were offered, but the company confirmed that it will lease back the building for 20 years as part of the deal.
Proceeds from the sale, Nissan said, will be “reinvested to modernize facilities and support future growth under the Re:Nissan plan.”
While Nissan didn’t say much about the move, The Economic Times reported the headquarters was bought by MJI Godo Kaisha as part of a 97 billion yen ($633 million) deal. According to the outlet, Nissan stands to make roughly 73.9 billion yen ($483 million) in profit from the sale.
What Comes After The Cuts?
Much of the initial focus has been on cuts, but Nissan says they’re now “shifting focus to the next phase.” This will see them concentrate on products and partnerships. Details are lacking, but the company said we can expect an assortment of product launches through fiscal year 2027.
As for the first half of the year, Nissan posted an operating loss of 27.7 billion yen ($181 million). This came despite global sales of 1.48 million vehicles and consolidated net revenue of 5.6 trillion yen ($36.6 billion).
Given the headwinds, the company lowered its full-year fiscal 2025 guidance and is expecting to post an operating loss of 275 billion yen ($1.8 billion).
While there was a lot of bad news, Nissan CEO Ivan Espinosa said, “Our first-half results reflect the challenges we face, yet they confirm that Nissan is firmly on the path to recovery.”
He added they’re “accelerating toward the future – prioritizing new products, key markets, and breakthrough technologies that will define Nissan’s next chapter.”