Honda Motor Co., Ltd. · TSE:7267
Honda Motor — Q1 2026 Earnings Presentation
31 slides from Honda Motor's earnings presentation, Aug 6, 2025
Slide 1: Fiscal First Quarter Ended June 30, 2025 Financial Results
Fiscal First Quarter Ended June 30, 2025 Financial Results August 6, 2025 1 1
Slide 2: Summary
Summary Financial Results for Fiscal First Quarter Ended June 30, 2025 Operating Profit 244.1 bil. yen Motorcycles: Sales expanded in Brazil and Vietnam, achieving the highest operating profit. Automobiles: While tariff impacts and one-time expenses related to EVs were recorded, sales in North Ameri
Slide 3: Three Months Ended June 30, 2025: Consolidated Financial Results
Three Months Ended June 30, 2025: Consolidated Financial Results Three Months Ended June 30 Yen (billion) 2024 2025 Amount Change Sales revenue 5,404.8 5,340.2 - 64.5 - 1.2% Operating profit 484.7 244.1 - 240.5 - 49.6% Operating margin 9.0% 4.6% - 4.4 pt Share of profit (loss) of investments account
Slide 4: Consolidated Financial Forecast for FYE March 31, 2026
Consolidated Financial Forecast for FYE March 31, 2026 FYE March 31, 2025 FYE March 31, 2026 Change from Results Revised forecast Amount Change previous forecast Yen (billion) Sales revenue 21,688.7 21,100.0 - 588.7 - 2.7% + 800.0 Operating profit 1,213.4 700.0 - 513.4 - 42.3% + 200.0 Operating marg
Slide 5: Shareholder Returns
Shareholder Returns <Dividends> FYE March 31, 2026 FYE March 31, 2026 Change Dividend per Share (Yen) Previous forecast Revised forecast from previous forecast * Interim Dividend (35) (35) ₋ Year-end Dividend (35) (35) ₋ Fiscal Year (70) (70) ₋ *（ ) : Forecast <Status of Acquisition of the Company’s
Slide 6: Fiscal First Quarter Ended June 30, 2025 Financial Results
Fiscal First Quarter Ended June 30, 2025 Financial Results
Slide 7: Three Months Ended June 30, 2025: Honda Unit Sales
Three Months Ended June 30, 2025: Honda Unit Sales Unit (thousand) Motorcycles Automobiles Power Products Honda Three Months Ended June 30 Three Months Ended June 30 Three Months Ended June 30 Group Unit Sales 2024 2025 Change 2024 2025 Change 2024 2025 Change Japan 50 59 +9 141 124 - 17 46 62 + 16
Slide 8: Fiscal First Quarter Consolidated Financial Results
Fiscal First Quarter Ended June 30, 2025: Consolidated Financial Results Three Months Ended June 30 Yen (billion) 2024 2025 Amount Change Sales revenue 5,404.8 5,340.2 - 64.5 - 1.2% Operating profit 484.7 244.1 - 240.5 - 49.6% Operating margin 9.0% 4.6% - 4.4 pt Share of profit (loss) of investments
Slide 9: Change in Operating Profit
Three Months Ended June 30, 2025: Change in Operating Profit Yen (billion) Operating Profit - 240.5 ( - 49.6 ％ ) Excluding one-time EV-related expenses and tariff impacts - 2.5 ( - 0.5 ％ ) ・Provisions for losses on EVs being sold in the U.S. ・Write-offs of development assets + 68.5 - 69.4 for EV mod
Slide 10: Sales Revenue/Operating Profit (Margin) by Business Segment
Three Months Ended June 30, 2025: Sales Revenue/Operating Profit (Margin) by Business Segment upper: Three Months Ended June 30, 2025 Motorcycle Automobile Financial Services Power Products and lower: Three Months Ended Business Business Business Other Businesses June 30, 2024 Unit (thousand) 5,143
Slide 11: Change in Operating Profit for Motorcycle Business
Three Months Ended June 30, 2025: Change in Operating Profit for Motorcycle Business Despite foreign currency effects and other factors, operating profit increased mainly due to higher sales volume in South America. Yen (billion) Operating Profit + 11.3 ( + 6.4 ％ ) + 14.2 - 12.7 + 41.0 + 1.3 - 30.6
Slide 12: Change in Operating Profit for Automobile Business
Three Months Ended June 30, 2025: Change in Operating Profit for Automobile Business Excluding one-time EV-related expenses and tariff impacts, increase in sales volume in North America and other factors offset increase in R&D and other expenses, but yen appreciation caused decrease in operating pro
Slide 13: Cash Flows of Non-Financial Services Businesses
Cash Flows of Non-Financial Services Businesses Yen (billion) Three Months Ended Three Months Ended June 30, 2024 June 30, 2025 Cash flows from operating activities + 258.6 + 390.0 Cash flows from investing activities - 184.7 - 95.9 Free cash flow + 73.9 + 294.0 Cash flows from financing activities
Slide 14: Fiscal Year Ending March 31, 2026 Financial Forecast
Fiscal Year Ending March 31, 2026 Financial Forecast
Slide 15: Forecast for 2026: Honda Unit Sales
Forecast for FYE March 31, 2026: Honda Unit Sales Unit (thousand) Motorcycles Automobiles Power Products FYE March 31, FYE March 31, FYE March 31, FYE March 31, FYE March 31, FYE March 31, Honda 2026 2026 2026 2026 2026 2026 Group Change Change Change Unit Sales Previous Revised Previous Revised Pre
Slide 16: Consolidated Financial Forecast for 2026
Consolidated Financial Forecast for FYE March 31, 2026 FYE March 31, 2025 FYE March 31, 2026 Change from Results Revised forecast Amount Change previous forecast Yen (billion) Sales revenue 21,688.7 21,100.0 - 588.7 - 2.7% + 800.0 Operating profit 1,213.4 700.0 - 513.4 - 42.3% + 200.0 Operating marg
Slide 17: Forecast for 2026: Change in Operating Profit
Forecast for FYE March 31, 2026: Change in Operating Profit Yen (billion) Operating Profit - 513.4 ( - 42.3 ％) + 350.0 - 91.5 - 126.0 Expenses*3 - 302.0 + 106.0 1,213.4 R&D - 450.0 Price/Cost Sales impacts*1 impacts*2 Foreign currency effects*4 700.0 Tariff impacts Operating Operating Margin Margin
Slide 18: Forecast for 2026: Change in Operating Profit vs Previous Forecast
Forecast for FYE March 31, 2026: Change in Operating Profit Yen (billion) Operating Profit + 200.0 ( + 40.0 ％) + 200.0 700.0 500.0 - 50.0 + 150.0 - 100.0 Tariff impacts Sales impacts*1 - - Price/Cost Expenses*3 R&D Foreign currency impacts*2 effects*4 Operating Operating Margin Margin 2.5% 3.3% FYE
Slide 19: Forecast: Capital Expenditures/Depreciation and Amortization/R&D Expenditures
Forecast for FYE March 31, 2026: Capital Expenditures/Depreciation and Amortization/R&D Expenditures FYE March 31, 2025 FYE March 31, 2026 Change from Change Results Revised forecast previous forecast Yen (billion) Capital expenditures*1 537.4 640.0 + 102.5 + 20.0 Depreciation and amortization*1 456
Slide 20: Caution with Respect to Forward-Looking Statements
Caution with Respect to Forward-Looking Statements: This presentation contains forward-looking statements about the performance and shareholders return of Honda, which are based on management’s assumptions and beliefs taking into account information currently available to it. Therefore, please be ad
Slide 21: HONDA | How we move you.
HONDA | Howwe move you. The Power of Dreams CREATE » TRANSCEND, AUGMENT
Slide 22: Appendix
Appendix
Slide 23: Summary of Tariff Impact Estimation Assumptions
Forecast for FYE March 31, 2026 Summary of Tariff Impact Estimation Assumptions Estimated tariff impact was reduced by 200 billion yen compared to the previous forecast, reflecting the re-examination result and the modified tariff rate. Yen (billion) Estimation Assumptions (Based on officially publi
Slide 24: [Reference] Change in Operating Profit
[Reference] Three Months Ended June 30, 2025: Change in Operating Profit Yen (billion) Operating Profit - 240.5 ( - 49.6 ％) + 68.5 - 67.5 + 50.5 - 81.3 484.7 Price/Cost Expenses*3 - 86.1 Sales impacts*1 impacts*2 R&D - 124.6 Foreign currency effects*4 244.1 Tariff impacts Operating Operating Margin
Slide 25: Change in Sales Revenue
Change in Sales Revenue (sales revenue from external customers） Compared with Three Months Ended June 30, 2024: - 64.5 billion yen / - 1.2 % Three Months (Excluding foreign currency translation effects: + 312.9 billion yen / + 5.8 %) Yen (billion) FYE March 31, FYE March 31, Change Sales Revenue Yen
Slide 26: Sales Revenue/Operating Profit by Geographical Segment
Fiscal First Quarter Ended June 30, 2025: Sales Revenue/Operating Profit by Geographical Segment Yen (billion) Japan North America Europe Asia Other Regions Three Months 2024 2025 2024 2025 2024 2025 2024 2025 2024 2025 Sales Revenue 1,355.4 1,300.9 3,329.7 3,366.5 249.8 237.2 1,169.3 1,085.6 319.4
Slide 27: Capital Expenditures/Depreciation and Amortization/R&D Expenditures
Fiscal First Quarter Ended June 30, 2025: Capital Expenditures/Depreciation and Amortization/R&D Expenditures Three Months Ended June 30 2024 2025 Change Results Results Yen (billion) Capital expenditures 91.5 90.9 - 0.5 Depreciation and amortization 120.6 107.0 - 13.6 Research and development expen
Slide 28: Consolidated Statements of Financial Position
Three Months Ended June 30, 2025: Consolidated Statements of Financial Position Divided into Non-financial Services Businesses and Finance Subsidiaries Yen (billion) FYE March 31, Q1 Ended FYE March 31, Q1 Ended Assets Liabilities and Equity 2025 June 30, 2025 2025 June 30, 2025 Cash and cash equiva
Slide 29: Sales Revenue/Operating Profit by Business Segment
Sales Revenue/Operating Profit by Business Segment Yen(billion) QTD FYE March 31, 2025 FYE March 31, 2026 Change Change Segment Information 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q (%) Sales Revenue Motorcycle Business 937.6 873.0 896.2 919.6 951.5 + 13.9 + 1.5% Automobile Business 3,504.5 3,625.9 3,768.0 3,569.2 3,
Slide 30: Honda Group Unit Sales/Consolidated Unit Sales
Honda Group Unit Sales/Consolidated Unit Sales Unit (thousand) QTD Forecast FYE March 31, 2025 FYE March 31, 2026 Honda Group FYE March 31, FYE March 31, Change Unit Sales 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 2025 2026 Change Results Forecast Motorcycles 5,062 5,320 5,126 5,064 5,143 + 81 20,572 21,300 + 728 Jap
Slide 31: Electrified Automobile Retail Sales per Power Trains
Electrified Automobile Retail Sales per Power Trains Unit (thousand) QTD YTD FYE March 31, 2025 FYE March 31, 2026 Electrified FYE March 31, Change Automobile 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 2025 Retail Sales Results Global HEV 204 217 231 246 225 + 21 898 PHEV 4 5 5 3 3 -1 17 EV 6 22 30 19 18 + 12 77 FCEV