Honda Books 414.3 Billion Yen Operating Loss, Cancels US BEV Models
HMC•Honda Motor Company posted a 414.3 billion yen operating loss and 423.9 billion yen net loss in FY25, its first loss in nearly 70 years, on revenues of 21,796.6 billion yen. The automaker canceled US BEV models, booked restructuring charges and saw vehicle sales drop 8.9% to 3.387 million units.
1. FY25 Financial Results
Honda reported a 2.2% decline in revenues to 21,796.6 billion yen for the fiscal year ending March 2026, marking its first full-year operating loss of 414.3 billion yen and a net loss of 423.9 billion yen since 1948.
2. BEV Business Overhaul
The company attributed the loss to heavy accounting charges and restructuring costs tied to its battery electric vehicle strategy in the US, where weakening demand led to the cancellation of several planned models by decade-end.
3. Regional Sales Performance
Global vehicle sales fell 8.9% to 3.387 million units, with North America down 3% to 1.605 million units, Asia ex-Japan plunging over 21% to 929,000 units and Japan sales dipping 4% to 605,000 units.
4. FY26 Outlook
Honda expects a 500 billion yen operating profit in the current fiscal year, despite planning an additional 500 billion yen of charges as it continues to restructure its BEV operations.
