Physical Address
304 North Cardinal St.
Dorchester Center, MA 02124
The sign notes the location of the Honda dealer in Liberty, Illinois, December 18, 2024.
Scott Olson | Gets the image
Japanese Auto Giant HondaOperating income in the first quarter on Wednesday decreased by 50% over the year, missed estimates due to US authors and stronger yen.
Here are Honda results compared to LSEG’s average estimates:
- Profit: 5.34 trillion yen ($ 36 billion) vs. 5.25 trillion
- Operating Profit: 244.17 bn vs. 323.48 bn
In the first quarter of its financial year, ended on March 31, 2026, Honda’s profits amounted to 5.34 trillion, winning the LSEG average estimates.
The operating income decreased by approximately 50% to 244.17 bon -yen, there are no average LSEG 323.48 billion estimates.
However, the second largest car manufacturer in Japan stated that the impact of car tariffs would be less than expected.
The company also predicts that it will weaken further as it has increased its full -fledged profit for 200 billion, or 40%, up to 700 billion compared to the previous forecast of 500 bn.
Honda head said in calls for earnings that the impact of the tariffs would mitigate Honda production plants in the US
“Our local production factor for starters is our position to produce where there is a demand,” he said, adding that the company will look for ways to increase production in the US, without spending too much capital investment.
The company also considers the possibility of creating production states for its new energy vehicles to avoid tariffs.
Honda’s stock increased by 1.7% after revenue for profit.
Honda
Honda motorcycle noted that sales are expanding in markets such as Brazil and Vietnam to reach its high in the history of quarterly operating profit. Meanwhile, it was noted that the sales of electric vehicles remained strong in North America.
The US made up about a quarter of Honda Exports from Japan In the first half of the year. Its world sales decreased by 5%during this period, and influenced the decline in China, Asia and Europe.
Auto exports to the US is the cornerstone of Japan, which is 28.3% of all supplies in 2024, Customs Customs data Shown.
Japan motorists doubled pricing to keep the market share in the US after the president Donald Trump‘S 25% tariffs Imported vehicles that came into force on April 3.
Trump announced A new trading deal with Japan on July 22, which is said to include a lower rate of 15% on car imports in Japan in the United States, but the time for entry into force was not specified.
In June, the cost of a car in Tokyo in the US decreased by 25.3% a year, although the volume of car exports to the United States increased by 4.6% over the same period, reports Data of the Ministry of Commerce of Japan.
Tariffs got into Japan’s car giants
Other Japanese car manufacturers also suffer from shopping winds. On July 30, Nissan in Japan reported a net loss of 115.8 billion in the first quarter, which explains the unfavorable exchange movements and the impact of tariffs on the US.
Toyota, the largest Japanese car, intends to report the income on Thursday, and economists interviewed by Reuters, expecting it to publish its lowest profit in two years. This comes in spite of the company reporting that its sales around the world reached record highs in the first six months of the year.
Still in February Honda and Nissan stopped negotiations More than $ 60 billion, which would create the third largest automaker in the world by sales. In terms of earnings, Honda Executive Director said companies are still studying business cooperation but have not announced anything.
Japanese Prime Minister Shiger Isibr said he would not be shy on Monday with the president Donald Trump To ensure the incision for us a car tariffs implemented soon.
The main trading talker in the country of RaSEU went to Washington on Tuesday, trying to push Trump to sign the executive order that would confirm the exact date for reducing the car tariffs.
