CEO Ivan Espinosa said his company had to “reset the clock” with its major restructuring effort

Factory closures and job cuts are helping Nissan to stage a turnaround of its challenged performance, its CEO has told reporters.

The Japanese automotive giant has slashed forecasted losses for its 2025 financial year saying it now expects an operating loss of 60billion yen (about £287m) down from its previous outlook of 275billion yen (£1.31bn). Ivan Espinosa said the results – which also include a 44% fall in third quarter operating profits to 17.5billion yen (£83.7m) – showed progress.

The ‘Re:Nissan’ programme has introduced sweeping job cuts of up to 20,000 by 2027, the closure of seven factories globally and redeployment of 3,000 people from work on future models to look at cost cutting ideas. It came amid serious financial challenges to the company, which now hopes to become profitable by the end of its 2026 financial year.

The firm says it has identified more than £593m of cost savings through “thousands of innovative ideas”. It has reported about £383m alone in the first half of this year.

Mr Espinosa told a press conference in Japan that sales remained under pressure and tariffs continued to present issues, but sought to reassure that turnaround efforts were working. He said: “From the beginning, we said that this year was a year of restructuring. And when you do a restructuring unfortunately there are costs that are incurred and impairments that are incurred.

“It’s unfortunate that we have a net loss this year but in a way, it’s expected. This is what we said we’d do. We had to reset the clock of the company and this is what we’re doing with the plan.

“I think it’s remarkable to recognise from the teams the discipline and the dedication that they have put into moving the company from where we were to where we are in the third quarter.”

He added: “We are moving swiftly, with responsibility and taking care of the actions that we have to follow. We are a bit ahead of schedule in terms of the workforce reduction but we’re not sharing the breakdown – it’s about thoughtfulness and responsibility in the way we’re managing these adjustments to the workforce.”

Following failed merger negotiations with Honda, Nissan has rekindled talks with its rival. Mr Espinosa said those discussions were “focussing on projects that bring win-win to both companies” – particularly a focus on how to collaborate in North America where both car makers are facing headwinds from tariffs under President Trump.

Nissan’s Sunderland factory recently started production of the third generation Leaf model, 15 years on from the launch of its first predecessor. The success of the new Leaf could prove pivotal to Nissan which has invested millions in its transition to electric vehicle production at the Wearside plant which employs about 6,000 people.

Mumbai: Shares of agrochemical and animal-feed makers rallied on Thursday after strong third-quarter earnings from several companies lifted sentiment, while reduced US tariffs improved the near-term outlook.

Avanti Feeds surged 20%, hitting the maximum tradable limit of the day. Godrej Agrovet rose 6.5%, and Mukka Protein gained 3.5%. Among agrochemical stocks, Sharda Cropchem jumped 9.6%, while Sikko Industries, Aristo Bio-Tech and Lifescience advanced 6.1% and 5%, respectively.

“There was uncertainty earlier, which is out now since there is clarity on tariffs, and most of these companies have reported a better set of earnings on a lower base, which the investors are rewarding,” said Anita Gandhi, institutional head, Arihant Capital.

The GMB Union has said 40 jobs at the Knottingley and Leeds Verallia sites are at risk of redundancy due to Glass Packaging Tax pressures

Dozens of positions are under threat at glass manufacturing facilities in West Yorkshire as formal consultation proceedings get under way.

The GMB Union has confirmed that 40 roles at Verallia’s Knottingley and Leeds sites face potential redundancy. The union attributes this situation to insufficient Governmental backing on new environmental measures.

The union reports that consultation discussions have commenced to reduce the workforce at these plants following the consequences of the Glass Packaging Tax. Introduced in April 2025 under the Extended Producer Responsibility scheme, this legislation requires producers to bear the costs of collection, recycling, and disposal for their packaging materials.

Charges are determined by the weight and recyclability of materials, which means heavier substances such as glass incur substantially higher fees than lighter alternatives.

Darran Travis, GMB regional organiser, said: “This is devastating news for the industry and the local community. Glass manufacturing is not operating on a level playing field. With the Glass Packaging Tax, rising energy costs, and higher employer contributions: we warned the Government jobs would go.”, reports Yorkshire Live.

He added: “If these policies are not reversed, there is no future for glass bottle manufacturing in the UK. GMB is calling for urgent Government intervention to prevent further decline across the glass manufacturing sector.”

A spokesperson from the Department for Environment, Food and Rural Affairs commented: “Extended Producer Responsibility moves the cost of dealing with waste away from taxpayers, generating over £1 billion annually. These changes are backing British business with major investment and creating 25,000 jobs. We continue to work closely with the glass industry on this programme.”

Verallia has been approached for a response.

Women’s specialty retailer Francesca’s filed for Chapter 11 bankruptcy protection and launched going-out-of-business sales across all of its stores.

The company, founded in Houston in 1999, announced Friday that it voluntarily filed for protection in the U.S. Bankruptcy Court for the District of New Jersey. The retailer said the move is intended to facilitate a court-supervised process designed to maximize value for stakeholders.

Francesca’s currently has 457 locations across 45 states.

Advisors Tiger Group, SB360 Capital Partners and GA Group have launched court-approved store closing sales across the company’s entire fleet.

“Shoppers will find discounts of 25 to 40 percent off across all product categories, and new merchandise will continue to arrive at stores,” Michael McGrail, member at Tiger Group, said in a statement. “It’s an opportunity to add to or accessorize your wardrobe, find unique gifts, or just go on a treasure hunt for extraordinary deals.”

Discounted merchandise includes sweaters and cardigans, blouses and skirts, loungewear and intimates, denim jackets, party and wedding guest dresses, rompers and jumpsuits, as well as jewelry, gifts and accessories.

Francesca’s previously filed for Chapter 11 bankruptcy protection in December 2020, and was later acquired out of bankruptcy by TerraMar Capital and Tiger Group for $18 million.

In the years after exiting bankruptcy, Francesca’s attempted revival efforts, including launching a tween-oriented line called Franki by Francesca’s and acquiring Miley Cyrus and Suki Waterhouse’s lifestyle brand Richer Poorer. The chain also opened a new store at the American Dream mall in East Rutherford, New Jersey, in April 2024.

A spokesperson for Francesca’s did not immediately respond to FOX Business’ request for comment.

FOX Business’ Kristen Altus contributed to this report.

Market veteran Gurmeet Chadha has said that five years ago, it would have been hard to imagine State Bank of India (SBI) overtaking IT heavyweights such as Tata Consultancy Services (TCS) and Infosys in terms of market capitalisation. While stopping short of writing off the tech stocks, the Complete Circle Consultants’ Managing Partner and CIO attributed the remarkable resurgence of PSU banks in recent years to improved risk management practices and accelerated digitisation.

“Who would have thought 5 years back that SBI would have more market cap than TCS and Inf…Great turnaround in PSU banks as they become better risk managers and digitise. I would not write off Indian IT cos…they have the ability to pivot & convert this into an opportunity..,” Chadha said in a tweet on X on Thursday.

The comment comes on the back of a massive sell-off in IT stocks. The Nifty IT index has plunged over 8% over the week due to AI-led worries.

On Thursday, a fresh round of panic selling in tech stocks swept the D-Street. The IT index plunged over 4% to a four-month low, erasing a staggering Rs 1.3 lakh crore in combined market value. Shares of Indian software exporters like TCS, Infosys and Wipro slid more than 4%, hit by persistent fears of AI-led disruption in the sector and compounded by stronger-than-expected US jobs data that dimmed hopes of near-term interest rate cuts.

Nifty IT is the worst-performing index, plunging 21% over the past 12 months.

With a market capitalisation of Rs 10.91 lakh crore on BSE, SBI is the fourth most valuable company and only behind Reliance Industries (RIL, Rs 19.87 lakh crore), HDFC Bank (Rs 14.26 lakh crore) and Bharti Airtel (Rs 11.48 lakh crore).
Meanwhile, TCS’ mcap has slipped to Rs 10.52 lakh crore, while that of Infosys is at Rs 5.97 lakh crore.The companies’ market capitalisation has eroded following a 30% drop in TCS’ share price and a 25% decline in Infosys’ over the past 12 months.
Also read: Shriram Finance at Rs 2 lakh crore Mcap outpaces Nifty as lone multibagger. Can the party continue?

In contrast, the Nifty PSU Bank index has surged over 50% in the last 12 months. Individually, Indian Bank is the top gainer with 63%, followed by 62% returns by SBI, which is swiftly closing the gap.

(Disclaimer: The recommendations, suggestions, views, and opinions given by the experts are their own. These do not represent the views of The Economic Times.)

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