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Toyota Motor, Honda Motor Post Sharp First Quarter Profit Increase

By Kosaku Narioka

Toyota Motor Co., Ltd. and Honda Motor Co., Ltd. showed a continuous recovery from the Covid-19 pandemic on Wednesday, with their respective first-quarter net profits rising sharply year-on-year.

According to Toyota Motor Corporation, net profit for the June quarter increased from 158.84 billion yen in the same period of the previous year, when the pandemic hit global sales, to 897.83 billion yen ($ 8.23 ​​billion). Quarterly net profit exceeded an estimated 696.15 billion yen from analysts’ FactSet polls.

Its revenue increased 72% to 7.936 trillion yen.

Operating income in Japan increased from 77.4 billion yen in the previous year to 518.5 billion yen, and operating income in Asia excluding Japan increased from 42.8 billion yen to 166.6 billion yen. The North American business posted a profit of 248.8 billion yen against the deficit in the same period of the previous year, and the European business also posted a profit.

Toyota maintained its forecasts for car sales, sales and net profit for the year ending March. The company expects to sell 10.6 million group vehicles this year as well. Sales are expected to increase 10% to ¥ 30.000 trillion, and net income is expected to increase 2.4% to ¥ 2.300 trillion.

On the other hand, according to Honda Motor Co., Ltd., net income for the fiscal year ended June was 222,510 million yen, which was 80.87 billion yen in the same period of the previous year. This exceeded the ¥ 102.64 billion forecast obtained from analysts’ FactSet polls.

Sales increased 69% to 3.584 trillion yen, partly due to the recovery of automobile sales in North America.

Honda’s automobile business posted an operating profit of 70.69 billion yen against a loss of 195.89 billion yen in the same period of the previous year.

Honda raised its outlook for sales and net profit for the fiscal year ending March. Sales are expected to increase 17% to ¥ 15.45 trillion compared to the previous forecast of 15% increase, and net income is expected to increase 1.9% to 670 billion yen compared to the previous forecast of decrease 10%.

Write to Kosaku Narioka at kosaku.narioka@wsj.com

Toyota Motor, Honda Motor Post Sharp First Quarter Profit Increase

Source link Toyota Motor, Honda Motor Post Sharp First Quarter Profit Increase

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