Nissan Auto Receivables Trust 2023-B Files 10-K, Details Auto Loan Performance

TL;DR

This 10-K confirms the Nissan Auto Receivables 2023-B Owner Trust is a stable, pass-through entity, making it a low-risk hold for existing bondholders.

AI Summary

The Nissan Auto Receivables 2023-B Owner Trust, an asset-backed securities issuer, filed its 10-K for the fiscal year ended March 31, 2025. As a pass-through entity, it does not report traditional revenue or net income, but rather manages a pool of auto loan receivables originated by Nissan Motor Acceptance Company LLC. The trust's primary function is to collect principal and interest from these receivables and distribute them to investors holding the 333-255899-05 securities. Key business changes involve the ongoing amortization of the underlying auto loan portfolio, with no new securitization activity reported for this specific trust during the period. Risks primarily revolve around the performance of the underlying auto loans, including potential increases in delinquencies or defaults, which could impact cash flow to investors. The strategic outlook remains focused on the efficient servicing and liquidation of the existing collateral pool, ensuring timely payments to bondholders as per the trust's governing documents.

Why It Matters

This 10-K provides crucial transparency for investors holding the Nissan Auto Receivables 2023-B Owner Trust's asset-backed securities, allowing them to assess the health of the underlying auto loan collateral. For employees of Nissan Motor Acceptance Company LLC, the performance of these securitized assets reflects on the quality of their loan origination and servicing. Customers with loans in this pool are directly impacted by the servicing standards. In the broader market, the trust's performance offers a snapshot of the subprime auto loan sector, providing competitive context for other auto finance companies and ABS issuers.

Risk Assessment

Risk Level: low — The risk level is low because the Nissan Auto Receivables 2023-B Owner Trust is a pass-through entity with a defined pool of assets, meaning its operational risks are minimal. The primary risk, credit risk of the underlying auto loans, is mitigated by the securitization structure and credit enhancements typical for ABS, though specific default rates are not detailed in this summary. The trust has also filed all required reports, indicating strong regulatory compliance.

Analyst Insight

Investors holding securities from the Nissan Auto Receivables 2023-B Owner Trust should continue to monitor the performance of the underlying auto loan pool for any changes in delinquency or default rates. Given the low operational risk, no immediate action is required beyond routine due diligence on the collateral's health.

Financial Highlights

debt To Equity

N/A

revenue

N/A

operating Margin

N/A

total Assets

N/A

total Debt

N/A

net Income

N/A

eps

N/A

gross Margin

N/A

cash Position

N/A

revenue Growth

N/A

Key Numbers

• 333-255899-05 — Commission file number of Issuing Entity (Identifies the specific securities issued by the trust.)
• 2025-03-31 — Fiscal year end date (Marks the period covered by this 10-K filing.)
• 93-6738725 — I.R.S. Employer Identification No. (Unique tax identifier for the Issuing Entity.)

Key Players & Entities

• Nissan Auto Receivables 2023-B Owner Trust (company) — Issuing Entity
• Nissan Auto Receivables Company LLC II (company) — Depositor
• Nissan Motor Acceptance Company LLC (company) — Sponsor
• SEC (regulator) — Securities and Exchange Commission
• Delaware (company) — Jurisdiction of incorporation
• One Nissan Way, Franklin, Tennessee 37067 (company) — Principal executive offices address
• 615-725-1121 (dollar_amount) — Registrant's telephone number
• 0001995403 (company) — Central Index Key of Issuing Entity
• 0001129068 (company) — Central Index Key of Depositor
• 0001540639 (company) — Central Index Key of Sponsor

FAQ

Risk Factors

• Credit Risk of Underlying Receivables [high — financial]: The primary risk stems from the credit quality of the auto loan receivables held by the trust. Deterioration in the creditworthiness of Nissan Motor Acceptance Company LLC's borrowers could lead to increased delinquencies and defaults, directly impacting the cash flows available for distribution to the trust's investors.
• Servicing and Collection Performance [medium — operational]: The efficient servicing and collection of the auto loan portfolio by Nissan Motor Acceptance Company LLC is critical. Any operational failures or inefficiencies in managing delinquencies, repossessions, and liquidations could negatively affect the recovery rates and the overall performance of the securitized assets.
• Interest Rate and Prepayment Risk [medium — market]: Changes in interest rates can affect the value of the receivables and the yield to investors. Furthermore, unexpected prepayment speeds by borrowers can alter the expected maturity of the securities, potentially leading to reinvestment risk for investors if rates have fallen.

Industry Context

The auto finance industry is characterized by intense competition among lenders and significant reliance on the performance of the underlying auto loan portfolio. Trends include evolving consumer credit preferences, the impact of economic conditions on loan defaults, and the increasing role of technology in loan origination and servicing.

Regulatory Implications

As an issuer of asset-backed securities, the trust is subject to regulations governing financial reporting and disclosure, including the requirements of Form 10-K. Compliance with these regulations ensures transparency for investors regarding the performance and risks of the underlying assets.

What Investors Should Do

1. Monitor Delinquency and Default Rates
2. Review Servicer Performance Reports
3. Assess Interest Rate Sensitivity

Key Dates

• 2025-03-31: Fiscal Year End — Marks the end of the reporting period for the 10-K filing, providing a snapshot of the trust's asset performance and financial condition.

Glossary

Asset-Backed Securities (ABS)

Securities that are backed by a pool of assets, such as auto loans, credit card receivables, or mortgages. (The Nissan Auto Receivables 2023-B Owner Trust is an issuer of ABS, specifically backed by auto loan receivables.)

Pass-through Entity

An entity that passes income earned by the entity directly to its investors, avoiding taxation at the entity level. (The trust operates as a pass-through entity, meaning it does not report traditional revenue or net income, but rather distributes collections to investors.)

Receivables

Money owed to a business by customers for goods or services that have been delivered or used but not yet paid for. (The trust's primary assets are auto loan receivables originated by Nissan Motor Acceptance Company LLC.)

Securitization

The process of pooling various types of contractual debt, such as mortgages, auto loans, or credit card debt, and selling these pools to third-party investors as securities. (The trust is a result of a securitization process, where auto loans are packaged and sold as securities.)

Year-Over-Year Comparison

As this is a 10-K filing for the fiscal year ended March 31, 2025, a direct comparison of key financial metrics like revenue growth or net income is not applicable, as the trust is a pass-through entity. The focus remains on the performance and amortization of the existing auto loan portfolio, with no new securitization activity reported for this specific trust, indicating a stable, albeit declining, asset base.

Filing Details

This Form 10-K (Form 10-K) was filed with the SEC on June 27, 2025 regarding Nissan Auto Receivables 2023-B Owner Trust.

View full filing on EDGAR

View Full Filing

View this 10-K filing on SEC EDGAR