Honda quarterly profit up 46 per cent on US sales

Tokyo, PTI | Updated : 30 October 2013, 04:33 PM

Honda's quarterly profit rose 46 per cent in the latest quarter as higher car sales in the US and motorcycle shipments to Asia offset costs from plant openings.

Revenue rose 27 per cent in the July-September quarter to USD 29.4 billion, with net income at USD 1.2 billion, the Tokyo-based company said on Wednesday.

Honda Motor Co. maintained most of its forecasts for the fiscal year that ends next March, though it cut its target for motorcycle sales to 17.3 million units from 17.4 million.

Japanese automakers have seen their profits surge in yen terms as the Japanese currency weakened against the US dollar.

While Honda's car sales inside Japan fell 22 per cent in the first half of the fiscal year, its sales overseas rose 8 per cent to 1.72 million vehicles, pushing its total sales for the first half to a record 2.1 million vehicles.

The company's biggest growth in sales was in the US and parts of Asia, including China, while sales fell in Europe.

Mitsubishi Motors Corp. reported yesterday that its net profit surged 55 per cent to USD 482 million in April-September, helped by cost cuts and a weaker yen.

Mitsubishi recently raised its profit forecast for the year and expects earnings to jump 84 per cent. It forecasts sales volume to rise 13 per cent from a year earlier to 1.1 million vehicles, despite a 27 per cent drop in sales in Thailand. The company said the release of two minicars, the eK Wagon and eK Custom helped boost sales.

Honda's net profit in the first half of the fiscal year  rose 13.5 per cent from a year earlier to USD 2.47 billion on USD 58 billion in sales.

First Published: Wednesday, October 30, 2013 04:30 PM
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