Nissan’s financial stability is crumbling. With a junk credit rating and debt projections skyrocketing from $1.6 billion in 2025 to $5.6 billion by 2026, the automaker’s future is uncertain.
The company’s credit risk has surged, prompting warnings from major ratings agencies like S&P Global and Japan Credit Rating Agency. Meanwhile, Nissan struggles with production cuts and reduced profit forecasts, raising doubts about its ability to maintain its ratings.
To further complicate matters, Nissan is laying off 9,000 workers and slashing 20% of its manufacturing capacity to cope with worsening industry conditions. This move, coupled with rising debt, has experts questioning whether Nissan can avoid bankruptcy.
The company faces a monumental challenge in stabilizing its finances. With mounting debt and shrinking workforce, Nissan’s next moves will be critical in determining if it can survive the financial storm.
Nissan is in serious trouble.
Its credit rating is junk.
They have a record debt of $1.6B that’s projected to be $5.6B by 2026.
They just layed off 9k workers.
Are we about to see one of the worlds biggest automakers go bankrupt? pic.twitter.com/W5Md1tgC4n
— Shazi (@ShaziGoalie) November 18, 2024
Sources:
https://finance.yahoo.com/news/nissan-faces-record-debt-bill-2024-11-12
https://fitchratings.com/research/corporate-finance/nissan-motor-at-bbb-outlook-stable-2024-11-15