Honda Motor Co., Ltd. (HMC:NYSE) announced its consolidated financial results for the fiscal first quarter ended June 30, 2025.

Rhea-AI Summary

Honda Motor (NYSE:HMC) reported strong Q1 FY2025 financial results, with operating profit reaching 244.1 billion yen. The company's motorcycle business achieved record operating profits, driven by robust sales in Brazil and Vietnam. While the automobile segment faced tariff impacts and EV-related expenses, North American sales remained strong.

Honda has revised its FY2026 forecast upward, projecting operating profit of 700 billion yen and profit for the year of 420 billion yen, representing a 200 billion yen increase from previous guidance. The revision reflects updated tariff impact assessments and currency assumptions, with USD/JPY revised from 135 to 140 yen.

The company's share buyback program has reached 85.1% completion, with 936.5 billion yen spent to acquire 646.66 million shares out of the planned 1.1 trillion yen program.

Positive

• Record operating profit in motorcycle business driven by Brazil and Vietnam sales
• Strong North American automobile sales performance
• Upward revision of FY2026 operating profit forecast by 200 billion yen
• 85.1% completion of substantial share buyback program worth 1.1 trillion yen
• Strong operating cash flows of 583.0 billion yen after R&D adjustment

Negative

• Significant tariff impacts with gross impact revised to 450 billion yen
• One-time expenses related to EV initiatives affecting automobile business
• Ongoing uncertainty about business outlook noted by management

TOKYO, Aug. 6, 2025 /PRNewswire/ -- Honda Motor Co., Ltd. today announced its consolidated financial results for the fiscal first quarter ended June 30, 2025.

Q1 Ended June 30, 2025 Financial Results

• Operating Profit 244.1 bil. yen
• In motorcycle business, sales expanded in Brazil and Vietnam, achieving the highest operating profit.
• In automobile business, while tariff impacts and one-time expenses related to EVs were recorded, sales in North America remained strong.
• Operating cash flows after R&D adjustment 583.0 bil. yen

FYE March 31, 2026 Financial Forecast

• Revised Upward to Operating Profit 700.0 bil. yen / Profit for the year 420.0 bil. yen
• Due to a review of tariff impacts and changes in currency effect assumptions, operating profit is expected to increase by 200 billion yen compared to the previous forecast*.
  -Tariff: The gross impact has been revised to 450 billion yen based on a detailed review of the impact amount.
  -Foreign currency: JPY/USD FX assumption has been changed from 135 yen to 140 yen, considering recent trends.
• Further grow the profit through improved profit structure, despite ongoing uncertainty about the outlook.

*Previous forecast: announced on May 13

Shareholder Returns

• Status of Acquisition of the Company's Own Shares (as of July 31, 2025)
  936.5 billion yen / 646.66 million shares have been acquired (rate of progress: 85.1%), for the acquisition of up to 1 trillion 100 billion yen / 1.1 billion shares (resolved on December 23, 2024) 

Honda's financial results can be accessed from following web site address.
https://global.honda/en/investors/library/documents.html

 

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SOURCE American Honda Motor Co., Inc.

FAQ

What was Honda's (HMC) operating profit for Q1 FY2025?

Honda reported an operating profit of 244.1 billion yen for the first quarter ended June 30, 2025.

How much has Honda revised its FY2026 operating profit forecast?

Honda has revised its FY2026 operating profit forecast upward by 200 billion yen to 700.0 billion yen, with profit for the year projected at 420.0 billion yen.

What is the status of Honda's share buyback program as of July 2025?

As of July 31, 2025, Honda has acquired 646.66 million shares worth 936.5 billion yen, completing 85.1% of its planned 1.1 trillion yen share buyback program.

Which regions drove Honda's motorcycle business performance in Q1 FY2025?

Honda's motorcycle business achieved its highest operating profit, driven by expanded sales in Brazil and Vietnam.

What is Honda's revised USD/JPY exchange rate assumption for FY2026?

Honda has revised its JPY/USD exchange rate assumption from 135 yen to 140 yen, considering recent currency trends.