Honda revised downward earnings forecast November 8, 18:52
Honda has revised its full-year forecast down to March next year, and operating profit, which represents the main business, is expected to be 10% lower than the previous forecast. This is due to the decline in motorcycle sales in the Indian market and the suspension of production of major domestic models due to defective parts.
Honda announced on the 8th of the next fiscal year until March next year, sales were 15 trillion 50 billion yen, 3.8% less than the August forecast, and operating profit was 10.90 billion yen, 10.4% lower.
This is because sales are falling in India, the main motorcycle market, due to the economic slowdown and stricter loan screening.
In Japan, the launch of the new “Fit”, which was found to have stopped production from the beginning of September and planned to use the same parts, as a malfunction of the brake warning light was found in the light vehicle “N-WGN”. Another factor is that we have lowered the forecast for annual sales because we delayed the schedule.
At a press conference, Honda's vice president Seiji Kuraishi said, “We are very sorry for the inconvenience caused by the suspension of production due to parts supply problems. I would like to take advantage of the strengths of the technology in light of the strengthening of environmental regulations. "