Moody's cuts Nissan corporate family rating to Ba2
Sweeping new cost cuts unveiled at Japan's third-biggest carmaker
By Reuters - 10 June 2025 - 09:00
Nissan's financial outlook remains grim.
Image: Tomohiro Ohsumi/Getty Images
Image: Tomohiro Ohsumi/Getty Images
Global ratings agency Moody's on Friday cut Nissan's corporate family rating to Ba2 from Ba1, as the embattled Japanese carmaker seeks to push through a turnaround.
The outlook remains negative, Moody's said.
“The downgrade reflects the deterioration and expectation for continuing weakness in Nissan's credit profile, most notably in its automotive free cash flow and Ebit [earnings before interest and taxes] margin,” Dean Enjo, Moody's ratings vice-president and senior analyst, said in a statement.
Japan's third-biggest carmaker last month unveiled sweeping new cost cuts, saying it would reduce its workforce by about 15% and cut production plants to 10 from 17 globally, as performance in its key markets continues to come under pressure.