Consolidated Financial Summary for the Fiscal 3rd Quarter Ended December 31, 2018

TOKYO, Feb. 1, 2019 /PRNewswire/ -- Honda Motor Co., Ltd. (HMC;NYSE) announced its consolidated financial results for the fiscal third quarter ended December 31, 2018.

Consolidated sales revenue for the fiscal third quarter (October 1, 2018 through December 31, 2018) amounted to 3,973.6 billion yen, remaining at approximately the same level compared to the same period last year, due primarily to an increase in motorcycle unit sales in certain countries such as Vietnam and an increase in sales revenue from financial services business. This was despite decrease in sales revenue factors such as unfavorable foreign currency translation effects. Consolidated operating profit for the fiscal third quarter amounted to 170.1 billion yen, a decrease of 40.2% compared to the same period last year, due primarily to a decrease in profit related to changes in sales volume and model mix, an increase in selling, general and administrative (SG&A) expenses and unfavorable foreign currency effects. This was despite profit-increasing factors such as cost reduction efforts. Consolidated profit for the fiscal third quarter attributable to owners of the parent amounted to 168.2 billion yen, a decrease of 402.0 billion yen (70.5%) compared to the same period last year, due primarily to the reverse effect from the impact of a reduction of corporate tax rates in the U.S. (346.1 billion yen)^*1 recorded in the same period last year.

Consolidated sales revenue for the fiscal nine months (April 1, 2018 through December 31, 2018) amounted to 11,839.5 billion yen, an increase of 3.4% compared to the same period last year, due primarily to an increase in sales revenue from all businesses. Consolidated operating profit for the fiscal nine months amounted to 684.0 billion yen, a decrease of 3.2% compared to the same period last year, due primarily to an increase in SG&A expenses and unfavorable foreign currency effects. This was despite cost reduction efforts and the loss related to the settlement of multidistrict class action litigation recorded in the same period last year. Consolidated profit before income taxes for the fiscal nine months amounted to 868.2 billion yen, a decrease of 6.1% compared to the same period last year. Consolidated profit for the fiscal nine months attributable to owners of the parent amounted to 623.3 billion yen, a decrease of 328.2 billion yen (34.5%) compared to the same period last year, due primarily to the reverse effect from the impact of a reduction of corporate tax rates in the U.S. (346.1 billion yen)^*1 recorded in the same period last year.

The following revisions were made to the previously announced consolidated financial forecasts for the current fiscal year (April 1, 2018 through March 31, 2019). The forecast for consolidated sales revenue was revised upward by 50.0 billion yen to 15.85 trillion yen, and the forecast for profit for the current fiscal year attributable to owners of the parent was revised upward by 20.0 billion yen to 695.0 billion yen. The forecast for operating profit remains unchanged from the previous forecast of 790.0 billion yen.

The quarterly dividend for the fiscal third quarter will be 28 yen per share (an increase of 3 yen per share compared to the same period last year), and total dividends to be paid for the fiscal year ending March 31, 2019 are expected to be 111 yen per share (an increase of 11 yen per share compared to the previous fiscal year).

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SOURCE Honda Motor Co., Ltd.