Japanese Automobiles Company Honda Boosts FY24 Outlook: Here's Details

Honda Motor Co Ltd (NYSE:HMC) reported Q2 FY24 sales revenue growth of 17.1% Y/Y to ¥4.98 trillion. 

Sales revenue of the Automobile business rose 23.9% Y/Y to ¥3.32 trillion, Motorcycle business increased 10.7% Y/Y to ¥815.6 billion, and the Financial Services business grew 3.2% Y/Y to ¥804.2 billion. 

Motorcycles unit sales declined to 4.793 million from 4.951 million, while Automobile unit sales rose to 1.033 million from 970 thousand a year ago.

The operating profit was up 30.7% Y/Y to ¥302.1 billion in the quarter. Profit for the period attributable to owners of the parent increased to ¥253.2 billion from ¥189.3 billion the prior year. 

EPS of ¥51.49 came higher than ¥36.95 a year ago.

As of September 30, 2023, cash and cash equivalents totaled ¥4.44 trillion.

Outlook: Honda raised its FY24 sales outlook to ¥20.0 trillion from ¥18.2 trillion (+18.3% Y/Y), operating profit to ¥1.2 trillion from ¥1.0 trillion (+53.7% Y/Y), profit attributable to owners of the parent to ¥930 billion from ¥800 billion (+42.8% Y/Y).

The company lowered the outlook for Motorcycles unit sales to 18.80 million (+0.2% Y/Y) and Automobile unit sales of 4.10 million (+11.2% Y/Y) in FY24. 

Price Action: HMC shares are trading lower by 1.87% at $31.27 on the last check Thursday.