Nissan Motor Co., Ltd. · TSE:7201
Nissan Motor — FY2024 Earnings Presentation
56 slides from Nissan Motor's earnings presentation, May 13, 2025
Slide 1: FY2024 Financial Results - New Recovery Plan
FY2024 Financial Results New Recovery Plan May 13, 2025
Slide 2: FY2024 Financial Results / FY2025 Outlook
FY2024 Financial Results FY2025 Outlook
Slide 3: FY2024 Summary
FY2024 Summary Net revenue Operating profit Net income 12,633.2 B 69.8 B -670.9 B -0.4% year over year -87.7% year over year 3
Slide 4: FY24 Retail Sales Results
FY24 Retail Sales Results Full Year Q4 (Thousand units) -2.8% -5.2% 3,442 3,346 vs. FY23 1,002 vs. FY23 950 794 697 China -12.2% 247 200 China -19.2% 484 461 Japan -4.8% 148 133 Japan -9.8% North 1,262 1,303 +3.3% Excluding North America 345 364 +5.5% Excluding China: America China: +0.0% -0.6% 361
Slide 5: FY24 Financial Performance
FY24 Financial Performance ■ FY23 ■ ■ FY24 (Billion Yen) Operating Profit Net Revenue (OP margin) Net Income * CAPEX R&D 12,685.7 12,633.2 568.7 426.6 577.3 609.9 619.0 (4.5%) Consolidated 486.1 69.8 (0.6%) -670.9 Operating Profit Net Revenue (OP margin) Free Cash Flow Net Cash 260.0 323.0 11,523.9
Slide 6: Operating Profit Variance Analysis
Operating Profit Variance Analysis FY24 Q4 YTD Actual vs. Previous Year +13.6 -299.9 (Billion Yen) +36.4 568.7 -7.9 -106.0 -135.1 69.8 FY23 Forex Raw Sales Monozukuri Inflation Others FY24 Materials Performance Cost Breakdown Volume/Mix -111.8 Manufacturing +8.1 Monozukuri -79.9 Sales Finance -13.1
Slide 7: FY2025 Outlook
FY2025 Outlook FRONTIER PRO NISSAN MOTOR CORPORATION
Slide 8: FY25 Volume Outlook (before tariff impact)
FY25 Volume Outlook (before tariff impact) Retail Sales (Thousand units) Production Volume vs. FY24 3,346 3,250 Global -2.9% 3,101 3,000 697 China -18.2% 570 China 665 461 460 Japan -0.2% North 1,300 -0.2% Excluding 1,303 America China: Excluding +1.1% China 2,436 350 Europe -0.3% 351 535 570 Others
Slide 9: Operating Profit Variance Analysis (before tariff impact)
Operating Profit Variance Analysis (before tariff impact) FY25 Outlook vs. FY24 Actual (Billion Yen) +160.0 -145.0 69.8 (+0.6%) -120.0 +60.0 -44.8 0.0 +20.0 FY24 Raw Sales Monozukuri FY25 Actual Forex Materials Performance Cost Inflation Others Outlook before Tariff Breakdown Volume/Mix -5.0 Manufac
Slide 10: US Tariff Exposure
US Tariff Exposure Exposure Mitigation Measures • Export from Mexico ~300k units • Prioritize retail sales of US-assembled models (Versa, Sentra, Kicks, QX50, QX55) • Further leverage US production capacity • Exports from Japan ~120k units • Rogue: maintain 2-shift operation in Smyrna (Ariya, Armada
Slide 11: FY25 Outlook
FY25 Outlook (Billion Yen) FY24 FY25 Variance FY25 Q1 Actual Outlook vs FY24 Outlook (Including Tariff Impact) Net Revenue 12,633.2 12,500.0 -133.2 2,750.0 Operating Profit 69.8 TBD - -200.0 OP Margin 0.6% TBD - -7.3% Net Income*1 -670.9 TBD - FX Rate (USD/JPY) 153 145 -8 145 FX Rate (EUR/JPY) 164 1
Slide 12: Nissan in Possession of Ample Liquidity Resource
Nissan in Possession of Ample Liquidity Resource Auto Segment ~3.4T (Yen) Internal Loan from Auto to Sales Finance 1.3T ~2.1T ~1.9T ~ -0.7T ~ +0.4T to ~1.6T to Unused +0.6T 1.8T 0.6T Securitization Lines Cash & 2.2T Cash Equivalent Unused 1.5T Commitment Lines Total Unused Liquidity Credit Lines* FY
Slide 13: RE NISSAN
RE NISSAN FY25-26 NISSAN MOTOR CORPORATION
Slide 14: Current Status
Current Status Cost of sales / unit Rising variable costs Fixed costs remain higher than current revenue can support SG&A cost / unit FY25 net revenue to remain flat FY23Q1 FY23Q2 FY23Q3 FY23Q4 FY24Q1 FY24Q2 FY24Q3 FY24Q4 Consolidated sales Per/unit SG&A* Per/unit cost of sales* *Ratios calculated a
Slide 15: Reality Revisited: A Grounded Plan
Reality Revisited: A Grounded Plan Must Ensure: Self Challenges improvement at speed Cost structure Market uncertainty Profitability with less reliance on volume 15
Slide 16: Key Drivers
Reality Revisited: A Grounded Plan Reduce cost 1 structure Positive Key Redefine market auto operating 2 and product profit Drivers strategy & free cash flow by FY26 3 Reinforce partnerships 16
Slide 17: Reduce Cost Structure
Reduce Cost Structure
Slide 18: Revisited Cost Targets
Revisited Cost Targets Announced Revisited Target Revisited target vs the Arc vs the Arc vs FY24 actuals** For reference Variable Cost Variable Cost ~100B 200B 250B by FY26 by FY26 by FY26 Targeting savings to total 500B Vs FY24 actuals Fixed >300B 350B 250B Cost Fixed Cost by FY26 by FY26 by FY26 *
Slide 19: Variable Cost Reduction
“Variable Cost Reduction
Slide 20: Efficiency Efforts
Efficiency Efforts Target 10% Over 3 years Cost Reduction: 250B Inflation Cost etc. reduction Initiate Variable Cost Transformation Program 250B Achieve engineering and cost efficiencies Rethink supply chain • Challenge internal standards • Increase efficiency: more for FY24 FY26 FY27 few Note: All
Slide 21: Rapid-Response Team
Rapid-Response Team • Pause some advanced and post-FY26 projects • Up to 300 experts from R&D, • TdC transformation office to reassign 3,000 employees for TdC reduction; Purchasing, Manufacturing, TCS led by Chief of TdC utilize new shortened development process to and Cost Control ensure no impact
Slide 22: Fixed Cost Reduction
Fixed Cost Reduction NISSAN MOTOR CORPORATION
Slide 23: Restructure Manufacturing
Restructure Manufacturing Consolidated Plants (excluding China) From 17 plants to Capacity utilization ratio* 10 by FY27 70% >100% Consolidate vehicle and 0.8M Partner 0.4M powertrain plants globally 0.2M Flexibility By <0.5M FY26 By Reform jobs and adjust shifts FY27 3.5M 2.5M Reduce capital expend
Slide 24: Reduce Workforce & Expenditure
Reduce Workforce & Expenditure Global Workforce 65% Manufacturing 18% SG&A 9,000 17% R&D 15,500 20,000* Expense Reduction Reduce labor cost and expenses Expand shared services Achieve marketing efficiency FY24-26 FY24-26 FY27 Original Revised Total Target Target Target *includes contractual workforc
Slide 25: Revamp Development
Revamp Development Cost of engineering Complexity Development speed 30-month development time 20% 70% reduction of workforce average parts complexity Initial models cost per hour Rationalize global Global platforms All-new R&D resources 13 Nissan Skyline 9 -46% All-new 7 Global C SUV All-new FY24 FY
Slide 26: Rigorous Implementation
Rigorous Implementation : Kickoff FY25 FY26 FY27 : Completion of action : P&L impact Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Variable 250B cost Variable Cost 3-month sprint Transformation Vehicle plant consolidation Reduction/Consolidation @ 7 plants Powertrain plant consolidation Revamp Gradual Deploym
Slide 27: Redefined Strategy
“Redefined Strategy NISSAN MOTOR CORPORATION
Slide 28: Segment coverage
Development Strategy • Focus on core segments in key markets, supported by partners in other regions • Utilize Nissan & partner developed models for other markets • Explore business collaboration in the US N. America Mexico Japan Europe China Others Mitsubishi Frame Motors Segment coverage D DONGFEN
Slide 29: Key Market Strategy
Key Market Strategy China Accelerate exports • Sustain volume with NEVs • Leverage local models for exports United States Europe • Proof of Concept for tech Core model focus to boost revenue/unit Core models + partnership partnerships ▪ Focus on core (C/D/F) segments ▪ Leverage Nissan X INFINITI syn
Slide 30: Key Product Strategy
Key Product Strategy Core Growth Volume and profit oriented models: Retention Future market growth models: Conquest E G RO R CO WT H Heartbeat Partnership Iconic brand name-plates Portfolio-complimenting models representing Nissan DNA PA RTNERS 30
Slide 31: Complement Through Partnerships
Complement Through Partnerships Strengthen collaboration in Europe, Explore vehicle intelligence Collaborate on India, and Latin America and electrification Pick-up & EV LCV collaboration in various markets Battery sharing Europe China Japan United States With Renault With Dongfeng Nissan With Mitsu
Slide 32: Results-Oriented Team
—~Results- Oriented Team NISSAN MOTOR CORPORATION y-
Slide 33: Re:Nissan Management Office Activities
Re:Nissan Management Office Steering Committee Chaired by CEO Variable Cost (TdC) Fixed Cost Topline Growth Global Commodities R&D MFG MFG/AFL G&A FMI Regions R&D TCS MFG AFL M&S Sponsor VME Leader Distribution Regional Leader Japan After Sales Activities + Vehicle Growth Americas projects Accelerat
Slide 34: Three Key Drivers Summary
1. Reduce Cost Structure 2. Redefine Market & Product Strategy 3. Reinforce Partnerships
Slide 35: Appendix
Appendix NISSAN MOTOR CORPORATI
Slide 36: FY24 Q4 Financial Performance
FY24 Q4 Financial Performance ■ FY23 Q4 ■ ■ FY24 Q4 (Billion Yen) Operating Profit Net Revenue (OP margin) Net Income * CAPEX R&D 3,514.3 3,490.0 101.3 226.2 Consolidated 196.3 173.0 164.1 90.3 (2.6%) 5.8 (0.2%) -676.0 Operating Profit Net Revenue (OP margin) Free Cash Flow Net Cash & Eliminations 3
Slide 37: Auto Net Cash & FCF
Auto Net Cash & FCF Continuing to maintain healthy levels of net cash Auto Net Cash Auto Free Cash Flow (Billion Yen) (Billion Yen) FY24 full year FCF: -242.8B 263.9 1,500.9 1,546.0 1,498.4 1,403.81,364.1 141.2 1,350.0 1,330.7 1,213.2 109.5 1,241.0 84.4 -12.1 -58.4 -145.6 -302.8 FY22 FY23 FY23 FY23
Slide 38: Financial Performance
Financial Performance (Billion Yen) FY23 FY24 Variance FY23 Q4 FY24 Q4 Variance Net Revenue 12,685.7 12,633.2 -52.5 3,514.3 3,490.0 -24.3 Operating Profit 568.7 69.8 -498.9 90.3 5.8 -84.6 OP Margin 4.5% 0.6% -3.9 points 2.6% 0.2% -2.4 points Non-Operating*1 133.4 140.4 71.7 45.0 Ordinary Profit 702.
Slide 39: Operating Profit Variance Analysis
Operating Profit Variance Analysis FY24 Q4 Actual vs. Previous Year (Billion Yen) 90.3 +5.0 -9.9 -85.6 +51.6 +0.3 -45.9 5.8 FY23 Forex Raw Sales Monozukuri Inflation Others FY24 Q4 Materials Performance Cost Q4 Breakdown Volume/Mix -7.5 Manufacturing +14.3 Monozukuri +7.3 Sales Finance +1.2 Selling
Slide 40: Sales Financing
Sales Financing ■ FY23 ■ FY24 (Billion Yen) Net Credit Net Revenue Operating Profit Total Assets Penetration Loss Ratio 10,375.9 10,145.6 1,161.8 1,262.1 one time 308.7 285.6 accounting 17.2 0.63% adjustment 47% 45% 0.45% Funding Sources (as of Mar 2025) Total Funding Amount: 9,512 Billion Yen • Exc
Slide 41: Penetration
Penetration ■ Lease ■ Retail N FS N MAC NCF N R FM D NAF/ D N FL 74% 63% 66% 62% 53% 49% 2% 2% 35% 35% 26% 27% 47% 38% 40% 5% 5% 27% 15% 51% 3% 47% 36% 36% 30% 30% 28% 27% 25% 24% FY23 FY24 FY23 FY24 FY23 FY24 FY23 FY24 FY23 FY24 NFS: Nissan Financial Services, sales finance company in Japan NRFM: N
Slide 42: Net Credit Loss Ratio
Net Credit Loss Ratio N FS N MAC NCF D NAF/ D N FL Lease Retail Total Lease Retail Total Lease Retail Total Lease Retail Total FY23 0.02% 0.06% 0.05% 0.07% 0.69% 0.45% 0.01% 0.07% 0.04% 0.78% 0.52% 0.56% FY24 0.02% 0.06% 0.06% 0.43% 0.91% 0.74% 0.04% 0.14% 0.09% 1.20% 0.80% 0.89% *1 *2 Variance 0.00
Slide 43: Operating Profit & Asset
Operating Profit & Asset N FS N MAC NCF N R FM D NAF/ D N FL (Billion JPY) (Million USD) (Million CAD) (Million MXN) (Million CNY) Asset OP Asset OP Asset OP Asset OP Asset OP FY23 1,444.8 31.6 39,188 1,047 6,795 216 102,132 4,478 47,468 2,263 FY24 1,536.9 32.9 39,774 890 7,741 217 126,670 4,892 35,
Slide 44: FY24 Sales Performance
FY24 Sales Performance TIV (Million units) Retail Volume (Thousand units) +3.3% -2.8% 87.30 vs. FY23 3,442 84.54 3,346 vs. FY23 25.14 China +1.6% 794 697 China -12.2% 24.75 4.58 Japan +1.0% 484 461 Japan -4.8% 4.53 North 18.80 19.36 America +3.0% (16.02) (US) (+2.2%) North (15.68) Excluding 1,262 1,
Slide 45: FY24 Q4 QTD Sales Performance
FY24 Q4 QTD Sales Performance TIV (Million units) Retail Volume (Thousand units) +6.9% -5.2% 23.85 vs. FY23 1,002 vs. FY23 22.30 950 8.21 China +10.3% 247 200 China -19.2% 7.44 148 133 Japan -9.8% 1.29 Japan +13.6% 1.13 North 4.53 4.70 America +3.6% (3.91) North (3.78) (US) (+3.4%) 345 364 Excluding
Slide 46: Japan
Japan TIV (Thousand units) Retail Sales Production +1.0% 4,530 4,577 -4.8% -11.5% 484 461 725 vs. FY23 vs. FY23 vs. FY23 641 2,903 2,948 295 280 440 Export -13.5% Registered +1.6% Registered -5.0% 381 1,627 1,629 189 180 Mini -4.5% 285 261 Domestic -8.5% Mini +0.1% FY23 FY24 FY23 FY24 FY23 FY24 FY23
Slide 47: North America
North America TIV (Thousand units) Retail Sales Production +3.0% +3.3% 19,354 vs. FY23 1,303 vs. FY23 -4.5% vs. FY23 18,800 1,262 1,235 1,178 3,121 3,337 Others +6.9% 346 365 Others +5.5% 629 +7.8% 678 Others 15,679 16,017 US +2.2% 916 938 US +2.5% 606 500 US -17.4% FY23 FY24 FY23 FY24 FY23 FY24 FY2
Slide 48: Europe
Europe TIV (Thousand units) Retail Sales Production +4.7% 17,122 vs. FY23 -2.9% 16,347 -15.1% 876 1,636 Russia +86.8% 361 351 325 276 Excl. 15,470 15,485 Russia +0.1% FY23 FY24 FY23 FY24 FY23 FY24 FY23 Q4 FY24 Q4 FY23 Q4 FY24 Q4 FY23 Q4 FY24 Q4 Excl. 4,051 4,024 -0.7% 117 113 Total -3.5% 81 73 Total
Slide 49: China
China TIV (Million units) Retail Sales (Thousand units) Production +1.6% -12.2% -14.7% 25.1 vs. FY23 794 780 24.7 vs. FY23 107 697 665 89 Others -16.8% 14.2 16.5 Others +16.1% 687 Nissan 608 -11.5% Brands 10.6 8.7 International -17.9% PV Brand FY23 FY24 FY23 FY24 FY23 FY24 FY24 Q1 FY25 Q1 FY24 Q1 FY
Slide 50: Consolidated Sales Volume
Consolidated Sales Volume FY24 (Thousand units) FY24 Q4 2,786 -4.6% 768 -4.8% 2,657 vs. FY23 731 vs. FY23 474 125 439 Japan -7.4% 119 Japan -5.3% 1,341 North 370 353 North 1,303 -2.8% -4.5% America America 364 337 Europe -7.4% 111 108 Europe -2.2% 154 132 Asia -13.9% 44 36 Asia -17.5% 454 446 Others
Slide 51: Operating Profit Variance Analysis Forex
Operating Profit Variance Analysis Forex FY23 FY24 OP Impact FY23 Q4 FY24 Q4 OP Impact Currency Rate Rate Currency (Billion Yen) Rate Rate (Billion Yen) USD 144.6 152.6 97.2 MXN 8.8 7.5 18.3 MXN 8.4 8.0 28.7 USD 148.6 152.6 12.7 GBP 181.7 194.7 10.2 INR 1.8 1.8 0.6 CAD 107.2 109.8 8.0 EUR 161.3 160.
Slide 52: Operating Profit Variance Analysis Sales Performance
Operating Profit Variance Analysis Sales Performance (Billion Yen) FY24 FY24 Q4 Volume*1 Mix Incentives*2 Total Volume*1 Mix Incentives*2 Total Japan -4.7 +2.2 +2.0 -0.5 +0.3 +0.1 +0.1 +0.5 Volume/Mix US -85.3 -27.9 +19.8 -93.3 -31.1 +22.3 -6.9 -15.7 Europe -35.4 -19.2 +30.7 -23.9 -3.1 -7.0 +7.8 -2.
Slide 53: Automotive Free Cash Flow
Automotive Free Cash Flow (Billion Yen) Q1 Q2 Q3 Q4 FY24 Net Cash Inflow from P&L Items +75.4 -8.2 +113.8 -89.7 +91.4 AP/AR -98.5 +4.2 -121.6 +184.2 -31.7 Inventory -47.9 -42.6 +113.4 +304.9 +327.7 Working Capital -146.4 -38.4 -8.3 +489.1 +296.0 Tax/Other Operating Activities -121.1 +4.7 -109.5 -4.0
Slide 54: Inventory Status (Excluding China JV)
Inventory Status (Excluding China JV) ■ Dealer inventory (except some minor countries) ■ Consolidated Nissan inventory (except some minor countries) (Thousand units) 800 630 640 640 660 570 600 540 550 470 390 250 FY19 Q4 FY20 Q4 FY21 Q4 FY22 Q4 FY23 Q1 FY23 Q2 FY23 Q3 FY23 Q4 FY24 Q1 FY24 Q2 FY24 Q
Slide 55: Net Cash by Business Segment
Net Cash by Business Segment (Billion Yen) As of March 31, 2024 As of March 31, 2025 Automobile & Sales Automobile & Sales Total Total Eliminations Financing Eliminations Financing Borrowings from Third Parties 2,028.3 5,783.1 7,811.4 1,947.6 6,152.2 8,099.9 Internal Loan to Sales Financing -1,560.0
Slide 56: Forward-looking statements
This presentation contains forward-looking statements, based on judgments and estimates that have been made on the basis of currently available information. By nature, such statements are subject to uncertainty and risk. Therefore, you are advised that the final results might be significantly differ