Ford, General Motors and Chrysler have been living in a world of sunshine and buttercups after their April-through-June financials hit the newswire, and Toyota is doing pretty good as well. Honda? Not so much.

While Japan's third-largest manufacturer saw $1.9 billion in profits, the 5.1-percent jump was lower than expected thanks to a drop in its home-market sales. US sales also took a sting, as Honda hasn't been able to match the SUV and truck demand that are currently permeating the American market, despite an uptick in Accord sales.

Honda's initial forecasts targeted a take of 209.3 billion yen ($2.1 billion at today's rates), and while a $200 million shortfall is nothing to sniff at, we'd hardly take this as Honda being in trouble. And even with the dip, Honda hasn't adjusted its forecast for the fiscal year, which remains at 780 billion yen ($7.9 billion).

Still, the cause of the problem for Honda isn't one that's easily solvable. Accord sales were strong, helping the brand move 745,578 vehicles during the first half of 2013, which is a six-percent improvement in year-over-year sales. Yet, Honda's market share shrunk by 0.1 percent, and the Japanese manufacturer's lack of competitive SUVs and pickups is worrying. In the short term, though, the arrival of the new Acura MDX in North American dealerships should deliver a small shot in the arm.

Honda's home-market issues are also troubling, with Reuters reporting a 24-percent drop in sales, thanks to the discontinuation of government subsidies. All told, this isn't the rosy outlook we've gotten used to since the latest batch of earnings came out.
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HONDA REPORTS FISCAL FIRST QUARTER FINANCIAL RESULTS

- Honda Motor Co., Ltd. announced its consolidated financial results for the fiscal first quarter ended June 30 2013
- Operating income for first quarter FY2014 has increased by 5.1 per cent to 184.9 billion yen, compared to the same period last year
- This increase has been driven by increased motorcycle sales in Asia and increased car sales in all regions except Japan
- All Forecasts for FY2014 (volume and profit) remain as per the last financial announcement (26 April 2013)


Despite some profit-reducing factors such as an increase in expenses necessary for the future growth of the company including R&D expenses and expenses related to the startup of new production plants and changes in revenue and model mix in Japan and North America, consolidated operating income for the fiscal first quarter (April 1, 2013 through June 30, 2013) amounted to 184.9 billion yen, an increase of 5.1 per cent compared to the same period last year, due primarily to increased motorcycle sales in Asia, increased car sales in all regions except for Japan, reduced costs and favorable currency effects due to the depreciation of the Japanese yen.

Previously announced forecasts for consolidated financial results for the current fiscal year ending March 31, 2014 will remain unchanged based on the results for this fiscal first quarter.

The quarterly dividend for the fiscal first quarter will be 20 yen per share, 1 yen increase compared to the quarterly dividend for the same period last year. The total cash dividends to be paid for the fiscal year ending March 31, 2014 are planned to be 80 yen per share, an increase of 4 yen per share from the previous fiscal year.


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      • 1 Year Ago
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        carlotta
        • 1 Year Ago
        >>It's easy to make money when you sell lots of cheaply made crap<< That's Ford's recipe, with worst in class quality.
          • 1 Year Ago
          @carlotta
          [blocked]
          Dean Hammond
          • 1 Year Ago
          @carlotta
          proof, and while you are at it, let us know if you can also find an IQ....
          • 1 Year Ago
          @carlotta
          [blocked]
        • 1 Year Ago
        [blocked]
      carlotta
      • 1 Year Ago
      >>Ford, General Motors and Chrysler have been living in a world of sunshine and buttercups after their April-through-June financials hit the newswire, and Toyota is doing pretty good as well. Honda? Not so much.<< Except that Honda was more profitable than the sunshine boys. I suspect that the former sell big time to sub prime types. But that's for future bailouts.
        • 1 Year Ago
        @carlotta
        [blocked]
          merlot066
          • 1 Year Ago
          Holy lord, we aren't the same person, get you act together...
          • 1 Year Ago
          [blocked]
        Dean Hammond
        • 1 Year Ago
        @carlotta
        Ford Says $2.55 Billion First-Quarter Net May Be Year\'s Best as Costs Rise............research Carlotta, research....in the meantime you can continue to look like an idiot........
      BB79826
      • 1 Year Ago
      "and the Japanese manufacturer's lack of competitive SUVs and pickups is worrying." What? No it's not. They've never been a player in the pickup market, and the CR-V is selling like mad. An Explorer-fighting Pilot would be nice, but it's not necessary. Honda isn't going anywhere. I'm glad they're not in 500 segments (half-assedly) like pretty much every other major automaker is.
        mazeroni
        • 1 Year Ago
        @BB79826
        He is saying that those segments - which are known to be largely profitable - are seeing growth and Honda isn't using their engineering knowledge or huge stockpile of money to properly dominate the segment like they did the Odyssey. The CR-V is a good car but doesn't have the same margins as an F-series or Explorer.
          Famsert
          • 1 Year Ago
          @mazeroni
          Truck owners are known to be extremely brand loyal and patriotic. Why on earth would Honda waste money trying to penetrate that market? Seriously.
      Jeff
      • 1 Year Ago
      If you want to throw stones at Honda, lob them at the Acura division. Outside of the MDX and RDX, not much to cheer about. ILX - admitted flop, RLX - flop, not addmitted yet, but sales numbers confirm. Current TL, nice car, but ugly, huge sales drop from previous generation. TSX is best car left in the stable, but they didn\'t keep updating (trims, content, powertrain). It could soldier on for a 2-3 more years with those improvements.
        789dm
        • 1 Year Ago
        @Jeff
        So tyical Honda they always screw up their best models eg Legend was legendary but they did half ass job n make it worst each year. Integra was famous but they killed it with RSX Last gen TL was the best model after TSX came out n yet they messed it up. TSX was great but they stop updating n make it more attractive n now kill it too. RDX was promising but not great. NSX was breath taking when it 1st came out but they stop there. They never really committed to luxury segment they only car n worry bout accord n civic period. Even their Honda brand they kill Prelude for accord coupe they kill Element n continue Crosstour they kill S2000 n keep Ridgeline, please tell me what their next mistake?
      MJC
      • 1 Year Ago
      How can you call Honda's SUVs noncompetitive when the CR-V is the best selling car in the biggest SUV segment. Not to mention the Pilot sells quite well (and at high profit margins), especially for a model that's at the end of it's lifecycle.
      Scooter
      • 1 Year Ago
      Honda has no business in the truck game. They need to align their product line, bring back sporty to the lineup, improve the Civic Si, and possibly offer a 5 door again Si or not. Consider introducing a 150~170 hp Fit? CR-Z should be able to become a 7second car with a bit of fine tuning. No more quirky side projects, just give the customers what they've been wanting. Honda went from sporty and fun to dull as dishwater over the last decade or so. They have the know how, and all the resources, just do it already! Introduce a sleeker sporty coupe to succeed the S2000. Keep the efficiency and the green tech, but just make the cars relevant again, kill the "anonymous" designs the line up's been wearing for the last 10+ years.
      J
      • 1 Year Ago
      That's a lot of income for some of the most milquetoast vehicles on the market. Toyotas might kill you, but Hondas just bore you to death.
      • 1 Year Ago
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        • 1 Year Ago
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      owen brown
      • 1 Year Ago
      Honda will be ok so don't get your hopes up.
      Avinash Machado
      • 1 Year Ago
      Time to make more fun cars.
      JohhnyDough
      • 1 Year Ago
      Hi Honda, All i'm saying is, bring back the S2000. Best, A man who is now older and has money to buy such a vehicle.
      • 1 Year Ago
      [blocked]
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