Financial Data and Key Metrics Changes - The FY 2025 third quarter cumulative operating profit was 1,139.9 billion yen with an operating profit margin of 7% [7] - Operating cash flow after R&D adjustment remained at the same level year on year at 1,945 billion yen [8] - Profit for the period attributable to owners of the parent company was 805.2 billion yen, down 64.3 billion yen year on year [12] Business Line Data and Key Metrics Changes - Motorcycle unit sales reached 15.5 million units, showing strong global sales [7] - Automobile consolidated unit sales volume decreased by 297,000 units year on year, primarily due to a drop in Asia, especially China [8] - Power products segment saw a decrease in sales mainly in Europe, totaling 2,516,000 units sold [15] Market Data and Key Metrics Changes - In the motorcycle segment, strong demand in India and Brazil, along with economic recovery in Vietnam, led to increased sales [10] - Automobile sales increased in Japan and the United States, but total sales dropped year on year due to a severe market environment in China [10][11] - The Thai motorcycle market is experiencing a decline due to difficulties in financing, impacting both motorcycle and automobile sales [70][71] Company Strategy and Development Direction - The company plans to maintain its share in the Thai motorcycle market while waiting for recovery [71] - Focus on improving profitability in the automobile business through the development of next-generation hybrids and battery EVs [50][89] - The company aims to optimize its equity ratio through share repurchases while continuing to invest in future growth [76] Management's Comments on Operating Environment and Future Outlook - Management acknowledged the challenges in the automotive market, particularly in China, and emphasized the need for strategic adjustments [100] - The company expects to maintain high profitability levels in the motorcycle segment while preparing for the launch of new battery EV models [88][90] - Management expressed cautious optimism regarding the impact of potential tariffs and regulatory changes under the new administration [117][120] Other Important Information - The company has maintained its consolidated financial forecasts for FY 2025, with operating profit expected to be 1,420 trillion yen and profit for the year at 950 billion yen [8][13] - A resolution was made to repurchase 1.1 trillion yen worth of company shares, with 184.9 billion yen already acquired as of January 31, 2025 [10][14] Q&A Session Summary Question: Inquiry about the full-year operating profit and expenses - Management explained that the increase in R&D and SGA expenses at the end of the fiscal year would lead to a decline in operating profit for the fourth quarter [32][33] Question: Clarification on North American EV incentives - Management noted a slight increase in North American incentives but mentioned that they were able to reduce EV incentives compared to previous estimates [36][37] Question: Measures to improve automobile profitability - Management highlighted the profitability of ICE and hybrid vehicles and discussed plans for next-generation hybrids to improve overall profitability [48][51] Question: Impact of declining motorcycle sales in Thailand on automobile business - Management confirmed that the decline in motorcycle sales due to financing difficulties also affects the automobile market, but they aim to maintain market share [71][72] Question: Continuation of share repurchase despite integration talks with Nissan - Management clarified that the share repurchase program was initiated to optimize the equity ratio and was not directly related to the integration talks [75][76] Question: Future growth potential in the motorcycle and automobile segments - Management expressed confidence in the growth potential of the motorcycle segment in emerging markets and outlined plans for new hybrid and battery EV models [88][90]

Group 1 - The $60 billion merger between Honda and Nissan has been called off due to Nissan's "pride and insufficient alarm about its predicament" [1] - Honda revised the terms of the merger abruptly, proposing that Nissan become a subsidiary, indicating potential bad blood between the two companies [2] - The merger talks were formally announced in December, with the goal of better navigating the "dramatic changes" in the automotive industry [3] Group 2 - If the merger had proceeded, it would have created the world's third-largest automaker, with considerations to include Mitsubishi and Renault in the alliance [3] - Foxconn, a Taiwanese electronics giant, has expressed interest in acquiring a stake in Nissan following the cancellation of the merger [2]

Japanese automakers Honda, Nissan and Mitsubishi said Thursday they are dropping their talks for business integration.The automakers agreed to end their agreement regarding the consideration of the structure for collaboration, their joint statement said.Honda Motor Co. and Nissan Motor Corp. announced in December that they were going to hold talks to set up a joint holding company. 3 Honda, Nissan and Mitsubishi are no longer discussing a business integration. REUTERSMitsubishi Motors Corp. had said it wa ...

Reuters on Feb. 6 had reported that Nissan "looks set to step back from" merger talks with rival Honda.Japanese automakers Honda and Nissan said Thursday they would terminate merger talks, ending speculation over the fate of a $60-bllion deal that was slated to create the world's third-largest auto company by sales volumes.The deal fell apart due to Nissan's "pride and denial," as well as its refusal to close factories, while Honda's move to make the carmaker its subsidiary further clouded the fate of the d ...

KEY TAKEAWAYSHonda Motor's U.S.-listed shares are rising around 6% in premarket trading following reports that the Japanese automaker’s plans to merge with ailing domestic rival Nissan are in jeopardy.According to the Financial Times, which cited people familiar with the matter, Honda unexpectedly came in with a new structure that would have made Nissan a fully owned subsidiary.A deal would have helped cut costs and help the automaker compete globally at a time when Chinese rivals are expanding their market ...

Nissan is set to call off merger talks with rival Honda, a source said on Wednesday, abandoning a $60 billion-plus tie-up that would have created the world’s no. 3 automaker and raising questions about how it will drive a turnaround by itself.Talks have been complicated by growing differences between the two Japanese automakers, two people familiar with the matter, both of whom declined to be named because they were not authorized to speak to the media, said earlier.Nissan shares slid more than 4% on the To ...

In this article7267.T-JPA Honda sedan moves down the assembly line on Jan. 28, 2025 at the automaker's assembly plant in Marysville, Ohio. Michael Wayland / CNBCMARYSVILLE, Ohio — Honda Motor is launching the next generation of its manufacturing in a historically unusual place for the 75-year-old Japanese automaker: Ohio.Honda is in the midst of completing more than $1 billion in new investments — upped Wednesday from an initially announced $700 million — in the state this year. Upgrades most notably includ ...

Honda will recall 294,612 vehicles in the US to fix an issue that may cause engines to stall or suffer a loss of power, the National Highway Traffic Safety Administration said on Wednesday.The recall affects certain 2022-2025 Acura MDX Type-S, 2023-2025 Honda Pilot, and 2021-2025 Acura TLX Type-S vehicles.Honda will recall 294,612 vehicles in the US to fix an issue that may cause engines to stall or suffer a loss of power. REUTERS A software error in the fuel injection electronic control unit (FI-ECU) may c ...

Honda Motor Co.'s (HMC) auto financing arm, American Honda Finance Corp., has been fined $12.8 million by the U.S. Consumer Financial Protection Bureau (CFPB) for allegedly providing inaccurate information that affected the credit reports of hundreds of thousands of Honda and Acura customers.During the COVID-19 pandemic, Honda Finance allowed customers to defer auto loan payments. However, the CFPB found that these accounts were mistakenly reported as delinquent instead of current to credit bureaus. The CFP ...

In this article7267.T-JPHonda 0 Saloon & Honda 0 SUV prototypesHondaLAS VEGAS — Honda Motor on Tuesday at the CES tech conference revealed the company's newest electric vehicles that are set to be produced at a multibillion-dollar manufacturing complex in central Ohio.The vehicles are the Honda 0 Saloon, which is an updated version of a concept car revealed last year at CES, and the Honda 0 SUV. Both "0 Series" vehicles are prototypes, which means they're intended for customer production but could still see ...