Archive · 30 Jun 2025
Nissan Seeks Supplier Payment Delays Amid $4.5 Billion Loss
Nissan, a car company, is facing financial difficulties.
To improve its cash flow, Nissan is asking its suppliers in Britain and the EU to wait longer to get paid.
The new CEO is also cutting costs by reducing staff and closing factories.
Nissan lost a lot of money last year and expects more losses soon.
Suppliers have the choice to wait for their money and get extra interest or to get paid immediately through a bank.
Nissan requested payment delays from suppliers in Britain and the EU.
The automaker reported a $4.5 billion net annual loss and expects negative free cash flow.
CEO Ivan Espinosa is implementing cost-cutting measures including workforce reduction.
Suppliers can choose delayed payment with interest or immediate payment via HSBC.
Nissan aims for positive free cash flow by its 2026 financial year.
- Who
- Nissan, a Japanese automaker, is making these requests to its suppliers.
- What
- Nissan is requesting payment delays from suppliers in Britain and the EU.
- When
- The requests for payment delays were made earlier this month.
- Where
- The requests were made to suppliers in Britain and the European Union.
- Why
- To free up short-term funds and improve cash flow due to financial difficulties and losses.
Nissan's Perspective
Supplier's Perspective
Company Strategy
Nissan's Perspective
Nissan is taking actions to recover its performance and rebuild to a leaner, more resilient structure.
Supplier's Perspective
N/A
- CEO
- Ivan Espinosa
- Annual Loss
- $4.5 billion (financial year ended March)
- Cost-Cutting Target
- 500 billion yen ($3.4 billion)
- Free Cash Flow Forecast
- Negative 550 billion yen (automotive business this quarter)
- Cash on Hand (March)
- 2.2 trillion yen ($15.1 billion)
- Debt Due This Year
- 700 billion yen
