Honda Posts ¥423.9bn Net Loss and ¥414.3bn Operating Loss
Honda posted a net loss of ¥423.9bn for FY ended March 31, 2026, reversing from a ¥835.8bn profit as operating loss reached ¥414.3bn versus ¥1.2trn. Revenue rose 0.5% to ¥21.8trn on motorcycle gains, partially offset by auto and FX headwinds; Honda forecasts ¥23.15trn revenue, ¥500bn operating and ¥260bn net profit.
1. Annual Financial Results
For the fiscal year ended March 31, 2026, Honda reported a net loss attributable to owners of the parent of ¥423.9bn, compared with a ¥835.8bn profit a year earlier. Operating loss totaled ¥414.3bn, reversing from a ¥1.2trn operating profit in the prior year.
2. Performance Drivers
Consolidated revenue increased 0.5% to ¥21.8trn, driven by higher motorcycle sales. Automobile revenue declined and adverse foreign currency translation exerted headwinds, while EV-related charges and U.S. tariff impacts further weighed on profitability.
3. FY 2027 Outlook
Honda projects fiscal 2027 sales revenue of ¥23.15trn, an operating profit of ¥500bn and net profit of ¥260bn. Management highlighted a broad reset of its electrification strategy and cost structure to restore margins and drive growth in its core businesses.