A day after Harley-Davidson reported weaker quarterly earnings, the famed motorcycle maker got a warning that its debt ratings may be cut to junk by spring. ...

Core Insights - Honda Motor Company reported a 2.2% decline in global revenues to JPY 15,975.6 billion (US$104.4 billion) for the first three quarters of FY26, with significant drops in operating profit and net profit attributed to US import tariffs and costs related to its US battery electric vehicle (BEV) program [1][5] Financial Performance - Operating profit fell by 48% to JPY 591.5 billion (US$3.9 billion) and net profit decreased by 42% to JPY 465.4 billion (US$304.2 billion) [1] - Global vehicle sales decreased by 9.1% to 2.561 million units, with North America sales down 4.7% to 1.211 million units, Asia (excluding Japan) down 18.2% to 739,000 units, and Japan down 6.3% to 439,000 units [2] - Revenues from vehicle sales dropped by 4.3% to JPY 10,435 billion, and the automotive division reported an operating loss of JPY 166.4 billion compared to an operating profit of JPY 402.6 billion previously [2] Other Business Segments - Global motorcycle sales increased by 6% to 16.44 million units, while power products sales slightly declined to 2.5 million units [3] - The combined operating profit from motorcycles and financial services was JPY 758 billion, which offset the losses from the automotive division [3] Future Outlook - Honda maintained its global revenue forecast for the full fiscal year at JPY 21.1 trillion, a 2.7% decline from the previous year, but reduced its operating profit forecast to JPY 550 billion from JPY 700 billion [4] - The company kept its global vehicle sales forecast unchanged at 3.34 million units [4] - Honda plans to focus on enhancing the profitability of its internal combustion engine (ICE) and hybrid vehicle operations while reducing losses from its US battery BEV operations [5]

Financial Results - Honda Motor Co., Ltd. reported operating cash flows after R&D adjustment of 1,855.8 billion yen for the fiscal third quarter ended December 31, 2025 [1] - The automobile business experienced a decrease in profits due to tariffs and one-time expenses related to electric vehicles (EVs) [1] - The motorcycle business saw solid sales, primarily driven by markets in India and Brazil [1] - Operating profit for the quarter was 591.5 billion yen [1] Financial Forecast - For the fiscal year ending March 31, 2026, the automobile business forecast remains unchanged at 3.34 million units due to an uncertain business environment [1] - The motorcycle business continues to forecast a record-high of 21.3 million units, supported by strong sales in India and Brazil [1] - The weaker yen positively impacted profits, but intensified competition in Asian auto markets led to higher incentives, maintaining the previous forecast [1] - Operating profit forecast is set at 550.0 billion yen, with profit for the year projected at 300.0 billion yen [1] Shareholder Returns - The company announced the cancellation of 747,000,000 shares of common stock, scheduled for February 27, 2026 [1] - After the cancellation, the total number of shares issued will be 4,533,000,000 shares [1]

Key Takeaways HOG posted a Q4 loss of $2.44 per share as consolidated revenues fell 28% year over year to $496 million.HOG's motorcycle segment revenues fell 10% on lower shipments, with EMEA retail sharply lower.HOG guided 2026 motorcycle retail sales of 130,000-135,000 units.Harley-Davidson, Inc. (HOG) reported a loss of $2.44 per share in fourth-quarter 2025, wider than the Zacks Consensus Estimate of a loss of 92 cents. The company had incurred a loss of 93 cents per share in the year-ago quarter. The m ...

Harley-Davidson more than doubled its loss in the fourth quarter as motorcycle sales continued to slump. ...

Financial Data and Key Metrics Changes - The operating profit for the third quarter was JPY 591.5 billion, a decrease of JPY 548.4 billion year-on-year [2][6] - Operating cash flow after R&D adjustment was JPY 1,855.8 billion, consistent with the same period last year [3] - The forecast for operating profit for the fiscal year ending March 2026 remains at JPY 550 billion, with profit for the year unchanged at JPY 300 billion [3][5] Business Segment Data and Key Metrics Changes - Motorcycle operations achieved record high unit sales of 21.3 million units, driven by strong sales in India and Brazil [4] - Automobile operations forecast remains at 3.34 million units, with a noted decline in profit due to non-recurring expenses related to EVs and tariffs [4][5] - Power products business sold 2.507 million units, with mixed results across regions [6] Market Data and Key Metrics Changes - The competitive environment for automobiles in Asia is expected to intensify, necessitating increased incentives [3] - The impact from tariffs is projected to decrease from an initial forecast of JPY 450 billion to JPY 310 billion [3][41] - The exchange rate against the U.S. dollar is assumed at 140 JPY for the full-year period [5] Company Strategy and Development Direction - The company aims to enhance its competitive strength by reviewing strategies in light of stagnated EV market growth and intensified competition from emerging OEMs [13][14] - Plans include settling losses related to EVs sold in North America and launching next-generation hybrid systems [14][15] - The company is focusing on building a well-balanced business portfolio to generate cash flow and maintain a sound balance sheet [15] Management's Comments on Operating Environment and Future Outlook - Management acknowledges challenges such as the stagnation of the EV market and the need for flexible strategies to adapt to changing environments [12][13] - The company is monitoring supply chain risks, particularly concerning rare earth metals and semiconductors, and is taking steps to mitigate these risks [39][40] - Future strategies will be communicated at an appropriate time during the coming fiscal year [14] Other Important Information - The forecast for the full-year dividend remains at 70 JPY per share, unchanged from previous forecasts [5] - The board has resolved to cancel 747 million treasury stocks [5] Q&A Session Questions and Answers Question: Full year outlook and automobile profitability - Management indicated that while expenses are expected to be high in the fourth quarter, the overall outlook remains unchanged, with a focus on managing tariff impacts and sales strategies in North America [20][21][23] Question: EV market trends and strategy - Management acknowledged the need to revisit EV strategies due to negative demand environments and competition from local manufacturers in China [30][31][32] Question: Semiconductor supply issues - Management reported that they have good prospects for preventing recurrence of semiconductor shortages and are actively managing supplier relationships [33][37][39] Question: Tariff impact and sales situation - Management explained that the tariff impact has decreased and outlined recovery plans involving local procurements and adjustments to logistics [41][42][43] Question: Collaboration with other companies - Management confirmed ongoing discussions with Nissan and other potential partners regarding co-development and cost-sharing strategies [58][59]

Honda Motor (NYSE:HMC) Q3 2026 Earnings call February 10, 2026 03:00 AM ET Company ParticipantsEiji Fujimura - Director and Managing Executive OfficerNoriya Kaihara - Director, EVP and Representative Executive OfficerNone - Translator 1None - Translator 2Conference Call ParticipantsNone - AnalystNoneI thank you very much for taking time out of your busy schedule to attend our briefing today. We would now like to start Honda Motor Co., Ltd.'s financial results briefing for the third quarter of fiscal year en ...

Fiscal Third Quarter Ended December 31, 2025 Financial Results February 10, 2026 Summary Financial Results for Nine Months Ended Operating Profit 591.5 billion yen Motorcycle business Group Unit Sales: 16.44 million units Achieved record-high unit sales, operating profit, and operating margin for nine months ended December 31, 2025 Automobile business Group Unit Sales: 2.561 million units Operating profit: - 166.4 billion yen (Operating margin - 1.6%) incl. tariff impacts and one-time EV-related expenses (- ...

Harley-Davidson, Inc. ( HOG ) is an iconic motorcycle manufacturer facing tariff impact, secular decline, an aging customer-base and declining market shares. The company's stock is heavily shorted and, based on our analysis, extremely undervalued, even for a company inWe write about all kinds of investments, as long as their price is reasonable. Long-only equity and sometimes debt. We focus on value names with strong down-side protection, as we are making heavily concentrated investments without much care f ...

Core Viewpoint - Paccar reported quarterly earnings of $1.06 per share, matching the Zacks Consensus Estimate, but down from $1.66 per share a year ago [1]. Group 1: Earnings Performance - The company posted revenues of $6.25 billion for the quarter ended December 2025, exceeding the Zacks Consensus Estimate by 2.81%, but down from $7.36 billion year-over-year [2]. - Paccar has surpassed consensus EPS estimates only once in the last four quarters [1]. - The current consensus EPS estimate for the upcoming quarter is $1.35, with expected revenues of $6.52 billion, and for the current fiscal year, the estimate is $5.79 on revenues of $27.36 billion [7]. Group 2: Stock Performance and Outlook - Paccar shares have increased approximately 11.5% since the beginning of the year, compared to a 1.5% gain in the S&P 500 [3]. - The company's earnings outlook and management's commentary during the earnings call will be crucial for determining the sustainability of the stock's price movement [3][4]. - The current Zacks Rank for Paccar is 3 (Hold), indicating that shares are expected to perform in line with the market in the near future [6]. Group 3: Industry Context - The Automotive - Domestic industry, to which Paccar belongs, is currently ranked in the top 28% of over 250 Zacks industries, suggesting a favorable outlook compared to lower-ranked industries [8]. - Another company in the same industry, Harley-Davidson, is expected to report a quarterly loss of $0.92 per share, with revenues projected to be $527.28 million, reflecting a 22.4% increase year-over-year [9].