Honda Profit Climbs as Motorcycle Sales Rise

Honda Motor Co. reported net income of $413.8 million for its fiscal second quarter, with earnings of 32 cents per share and revenue of $37.55 billion. For the six months through September, net profit rose to 516.76 billion yen ($3.3 billion), compared with 311.83 billion yen in the corresponding period a year before. Revenue for the first six months increased 13% to 12 trillion yen.

Motorcycle sales were a key contributor: Honda sold 11.9 million motorcycles in the half-year, compared with nearly 10.8 million in the same period a year earlier. Sales were strong in Brazil and India. Global automobile sales, by contrast, fell to 1.57 million from 1.68 million.

The company said losses tied to its electric-vehicle program reduced operating profit by 484.8 billion yen, following the cancellation of some models. Honda said it remains prepared to shift toward battery-electric vehicle production if demand grows.

Honda lifted its projection for operating profit for the full fiscal year to 780 billion yen, compared with 650 billion yen, citing favorable exchange rates and steps to limit the effect of U.S. tariffs, including moving some production to the United States. It plans a new auto plant in Ohio and aims to lift North American vehicle capacity to 1.91 million by 2029, from 1.67 million. In Brazil, it plans to expand motorcycle capacity at its Manaus factory to 2.3 million a year, up from 1.6 million.