Nissan dealers in the United States are experiencing a challenging year. Profits have plummeted by 70% compared to the same period in 2023, as reported by Automotive News. An insider familiar with Nissan's situation revealed to Automotive News that approximately 38% of Nissan's 1,071 dealers in America are operating at a loss. Profitability has reached its lowest point in 15 years. The report cites two primary reasons for this downturn: the absence of hybrid models and an excessive number of dealerships. Nissan stands out as the only major automaker in the US without a mild-hybrid or plug-in vehicle in its lineup. Despite plans to introduce a plug-in hybrid based on the Mitsubishi Outlander PHEV and a hybridized Rogue by 2027, competitors are capitalizing on hybrid sales. Automotive News notes that nearly 30% of all Toyotas sold last year featured hybrid technology, and hybrids represented about half of Accord and CR-V sales in 2023. Additionally, there are too many Nissan dealers in America relative to the company's market share. Currently, Nissans account for 5.8% of cars sold in America, down from 7.7% five years ago. Dealers interviewed by Automotive News believe the current dealer network cannot sustain itself based on this market share, with some suggesting a reduction in the number of dealerships by up to 40%. Nissan currently has more dealers than Honda, Hyundai, or Kia. Closing underperforming dealerships could potentially allow larger stores to survive and enable smaller, successful dealers to expand. However, it remains uncertain whether Nissan has the financial resources to buy out these dealers. Regardless, Nissan must implement changes if it aims to improve these figures.