TOKYO – Japanese automaker Honda Motor posted a net profit of 381.3 billion yen ($3.34 billion) between April-September, attributing it to an increase in motorcycle sales and a reduction in costs.
The consolidated operating profit of the Tokyo-based company was 422.1 billion yen during the same period – the first half of Japan’s 2017 fiscal year – a 14.7 percent year-on-year decrease, while consolidated sales revenue rose 11.2 percent to 7.49 trillion yen.
In a statement, Honda emphasized the solid performance of its motorcycles between April-September, when sales surpassed demand owing to the launch of new models, including Activa and DIO.
The company reiterated that the cumulative worldwide production of Honda Super Cub series motorcycles reached the 100 million-unit milestone in October and its plans to develop new technologies and electric vehicles in its plants in Sayama and Yorii by 2022.
Honda’s production capacity also increased to 6.4 million units at its factory at Narsapur in India, and along with favorable foreign exchange rates, contributed to the company’s solid performance.
The company also revised up its profit forecast for the current fiscal year, which will end in March 2018.
It expects a net profit of 585 billion yen, 7 percent more than its previous estimate, as well as an operating profit of 745 billion yen, 2.7 percent more than the earlier forecast.
Honda also revised its forecast for consolidated sales revenue to 15.05 trillion yen, up 3.8 percent from the previous estimate.