• Apr 28, 2009
An operating loss of ¥283.0 billion ($2.91 billion at current exchange rates) for the period ending March 31 represents Honda Motor Company's first quarterly loss in 15 years. To put that into proper perspective, that was when Honda was plying the 1994 model year Accord wagon shown above.

The automaker also reported global sales to distributors and dealers were down 680,000 units, or more than 35 percent. In North America alone, volume slid from 459,000 units last year, to just 219,000 units this year. For the period, Honda reported regional operating losses in all major markets.

While the news was anything but pretty, the automaker is still faring better than many of its rivals. Chrysler LLC and General Motors are currently toiling to stay afloat. Closer to home, rival Toyota is expected to announce its first loss later this month. Honda's Executive Vice President Koichi Kondo, however, is reportedly confidently optimistic. The company will focus on fuel efficient vehicles, leverage its flexible manufacturing, and engage in aggressive cost cutting to keep the company profitable in the current fiscal year, even as sales are predicted to continue their decline.

[Source: Automotive News, subs. req'd]


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  • 25 Comments
      • 5 Years Ago
      OMG FORD LOST LESS MONEY!!!!
      • 5 Years Ago
      Yea, it's a pretty crappy time to be in the car business.
      • 5 Years Ago
      Well, maybe now we understand the reasoning for using a huge chunk of cheap primer gray plastic as the corporate 'face' of your luxury line
      • 5 Years Ago
      "While the news was anything but pretty, the automaker is still faring better than many of its rivals. Chrysler LLC and General Motors are currently toiling to stay afloat. Closer to home, rival Toyota is expected to announce its first loss later this month."

      So now that VW's overtaken Toyota and GM, and is posting a decline in profits but not a loss, having made $243,000,000e, they're not a rival to honda on the global scale? news to me.
        • 5 Years Ago
        even in this worst quater (toyota down 30%, GM? I am not sure their global sale numbers., VW is still selling way less than toyota, and maybe GM too.
        and with their 30 years old models selling in China and Brazil...

      • 5 Years Ago
      My 2009 Civic is on Ebay, go bid on it. Only 09 I know of on Ebay. Good car for what it is. Reliable, great gas mileage and best of all, unbeatable resale value. I opted to go back to a pickup truck for personal reasons, but if you need an affordable car you can count on, Honda has my respect.
        • 5 Years Ago
        What do you care how I spend my money? I bought a gas guzzling F150 Platinum for long trips and towing. Reading your posts, it appears you have decided to be poor and bitter at everyone else. Loser.
        • 5 Years Ago
        ...personal reasons being the enjoyment of losing money?

        There's 21 2009 Civics on EGay.
      • 5 Years Ago
      Go Honda Go, Go Honda GO.
      • 5 Years Ago
      @Randy915

      Integra / S2000 / Prelude are the reasons why to this day Honda still has the cool-factor edge over Toyota.

      Honda is dwarfed by Toyota in sales, size and income. We can conclude that having a 'cool edge' simply isn't enough.
      • 5 Years Ago
      VW and Hyundai is coming for their lunch. They got to be shaking a lil.
      • 5 Years Ago
      I think it should be 1994 Accord, not 2004
      • 5 Years Ago
      Dont you mean 1994 model year Accord wagon
        • 5 Years Ago
        Seems as though it's been fixed now.
      • 5 Years Ago
      $2.9 billion isn't that much,I lose more than that playin slot machines.
      • 5 Years Ago
      I don't typically like to see other companies do bad but I'm and so glad that Honda lost money. It proves those smart asses in washingon wrong, the entire industry is in shambles. It has little to do with an automaker's product or past mistakes. I just think its hillarious that Honda lost significantly more than Ford in the same quarter. Go Ford! although I'm more of a GM man but we know how that story goes. can't wait to hear Toyota's losses!
        • 5 Years Ago
        The problem with GM and Ford is not that they lost money as well, but that they don't have much of a reserve. All this proves is that everyones sales are down, and most are losing money, but some can lose that money and survive, while others will not make it if they don't get fast cash.

        Ford is clearly in a better position though.
        • 5 Years Ago
        While you are cheering for Ford, remember that Ford has been busy selling off everything that isn't bolted down.

        Ford has sold Jag, Rover, Aston.....
        Ford has taken a second and third mortgage using their factories, building, patents, even the Ford logo and the merchandising rights to raise money to keep the lights on. So bad didn't they cancel magazine subscriptions for offices.

        Honda on the other hand has plenty of cash, still owns their factories, machinery, logo, patents......
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