Nissan Is on ‘Good’ Path With Profits, Electrification, COO Says

Bloomberg2021-12-07

Nissan Motor Co.’s profit recovery and electric-vehicle investment plans are placing the automaker on a good path toward future growth, Chief Operating Officer Ashwani Gupta said. “Our operating ...

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TVermeulen
2021-12-07
TVermeulen
Good news. Let’s see the new z

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Gupta’s comments in Dubai follow Nissan’sannouncementlast week that it will spend 2 trillion yen ($17.6 billion) over the next five years on electrifying more of its fleet.\nThe COO’s remarks follow statements made Monday by former Nissan Chief Executive Officer Carlos Ghosn. Joining an online briefing from Lebanon, Ghosn, who was removed from Nissan following charges of financial misconduct three years ago, said the automotive industry is undergoing a monumental shift to battery-powered cars and questioned whether Nissan’s current management is capable of guiding the company through the period of disruption.\nWith future profitability in mind, Nissan “needs to shift to a new direction,” Ghosn said. “The market is telling you that it is betting on companies that are moving toward totally electric. “I don’t think Nissan management is well equipped for this,” he said.\nGhosn, who has denied the financial misconduct charges, eventually left Japan undercover to escape trial.\nGupta responded Tuesday by highlighting the company’s financial recovery. Nissanannouncedlast month it is targeting a 180 billion yen operating profit for the year through March, in what would be its first return to annual profit in three years.\nRegarding electrification, “we’re talking about doing 2 trillion yen of investment to launch 23 products,” Gupta said. “This is good enough in regard to sustainable growth for Nissan moving into the future.”\nNissan is allocating “production to profitable markets and markets where customers are waiting,” Gupta said in response to questions on output cuts due to the pandemic, which has disrupted supplies of chips and raw materials for automakers across the globe.\nAsked whether Nissan would see cuts similar to October’s22% production drop, Gupta said: “I’m not sure about 22%, but it should be double digit.”","kind":"news","is_publish_news":true,"is_publish_highlight":true,"is_publish_live":false,"is_publish_wemedia":null,"editions":null,"column":"","sentiment":"0","news_tag":"","news_rank":0,"symbols":[],"gpt_button":1},"commentList":[{"id":606856426,"gmtCreate":1638861691701,"gmtModify":1638861693145,"author":{"id":"3580699589385230","authorId":"3580699589385230","name":"TVermeulen","avatar":"https://static.tigerbbs.com/ffcbb09604bf679c78d4b172e4ad0c39","vip":1,"crmLevel":2,"crmLevelSwitch":0,"idStr":"3580699589385230","authorIdStr":"3580699589385230"},"htmlText":"Good news. 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