Honda’s 1st-quarter operating profit more than doubles to $1.4 billion

Article by Christian A., on April 28, 2012

Honda revealed that its quarterly operating profit has more than doubled, thanks to the recovery in its production after having suffered from the various natural disasters in 2011 and the record strength of the yen. Moreover, it estimates a near-tripling of operating profit in the upcoming year, helped by rising sales in Asia and a recovery in the United States. 

Specifically, Honda posted an operating profit of 111.98 billion yen or $1.4 billion for the first three months ended March, an increase from the 46.21 billion yen it achieved in the same period last year. Net profit also increased 60.7% from 44.5 billion yen last year to 71.59 billion yen, which includes earnings made in China. 

The results concluded a five-quarter drop in operating profits for Honda, which is the No. 3 vehicle manufacturer in Japan. The company was adversely affected more than its competitors Nissan and Toyota from the natural disasters in Thailand and Japan last year. Honda was the last Japanese automaker to have its supply chain back to normal after the massive earthquake and tsunami in Japan in March 2011.

It only resumed work at its Thai vehicle facility at the end of March this year, after a break of six months following the massive floods in October. Executive Vice President Tetsuo Iwamura disclosed that Honda is aiming to regain a market share of at least 10 percent in the United States as soon as possible. The U.S. is its largest and most profitable market. The total U.S. market will likely increase to 14.3 million units in 2012, an increase from the 13.5 million seen at the end of last year, Iwamura noted.

Topics: honda, profit

If you liked the article, share on:

Comments

Recommended

Imagine a sports car morphing into an SUV. Chevrolet initially revealed the FNR Concept at the previous Shanghai Auto Show in 2015. For this year, Chevy once again graces the...
by - April 22, 2017
From the moment FCA kicked off with its 3-month-long ad campaign until the day it unveiled the new Dodge Challenger SRT Demon, folks have been guessing what the exact figures...
by - April 22, 2017
Some people may think Audi Sport is a new company but it is in fact the motorsport division of Audi combined with the best of what Quattro GmbH can offer....
by - April 21, 2017
It is not a big secret that premium customers in China have a strong penchant for luxury cars with a spacious interior. In particular, premium customers in China purchase luxury...
by - April 21, 2017
Chinese automaker Chery did not leave a good impression last time they were in Australia - due to its cheap design. But this year, Chery showcases its new Tiggo Sport...
by - April 21, 2017
Facebook

Youtube Channel

Tip Us
Do you have a tip for us?
Did you film an important event?
Contact us
Newsletter
Subscribe to our newsletter!
Subscribe
Galleries