Japan automaker Honda’s profit rises despite pandemic damage

TOKYO (AP) – Honda reported yesterday its fiscal third quarter profit more than doubled to CNY284 billion (USD2.7 billion) despite the coronavirus pandemic as auto sales grew in Japan and the United States (US).

Japanese automaker Honda Motor Co had reported a CNY116 billion profit for October-December a year earlier.

Honda’s quarterly sales inched up less than one per cent to CNY3.7 trillion (USD35 billion).

Cost cuts also helped boost Honda’s bottom line, despite difficulties caused by the pandemic, including computer chip shortages, according to Tokyo-based Honda.

The maker of the Accord sedan, CR-V crossover and Asimo robot said it carried out a major review of its operations to streamline expenses.

Honda said its motorcycle sales slipped in the three months through December to about three million motorcycles from 3.1 million units a year ago. Auto sales held up, increasing slightly to 809,000 vehicles from 808,000 vehicles.

Honda raised its profit forecast for the year through March to CNY465 billion (USD4.4 billion), up from the previous projection for a CNY390 billion (USD3.7 billion) profit.

The latest forecast is also better than the CNY456 billion profit Honda earned the previous fiscal year.