Business

Honda's Fiscal Year Profits Take a 24.5% Dive Amid Global Tariff Uncertainties

Honda Reports Significant Profit Drop in Fiscal Year 2025

In a recent financial disclosure, Honda Motor Co. Ltd. announced a consolidated profit attributable to owners of the parent for the fourth quarter ending March 31, 2025, at ¥835.8 billion ($5.65 billion), marking a 24.5% decrease from the previous year.

Earnings per share also saw a decline, dropping to ¥178.93 from ¥225.88 in the last fiscal year. Despite a 6.2% growth in sales revenue to ¥21.7 trillion, the company's operating profit fell by 12.2% to ¥1.2 trillion.

Future Outlook Clouded by Tariff Policies

Honda expressed concerns over the upcoming fiscal year, projecting a 6.4% drop in revenue and a steep 70.1% plunge in profit attributable to owners of the parent. The automaker cited "tariff policies in various countries" as a significant challenge, making it "difficult to formulate an outlook."