Now fully geared up to roar past a 20 million units per year marker once more, the Honda motorcycle business maintains its status as an unchallenged global success story.
In the nine months of its current fiscal year to 31 December 2024, Honda’s revenue from motorcycles grew by 14.8% year-on-year to an extraordinary total of £14.065bn. Associated operating profit was a muscular 21.9% up to £2.606bn. Operating margin increased to 18.5% from 17.5%. These figures made a mockery of the restrained profitability delivered by the much larger Honda automobile operations – which yielded an operating profit declining by 12.6% to £2.091bn, with an anaemic operating margin on cars falling to 3.7% from 4.6%.
At the heart of Honda’s three-quarterly motorcycling hegemony were worldwide sales rising by 11.1% to 15.508 million units, dominated by Asian sales growth 11.2% up to 13.216 million. Other emerging regions added 13.5% to 1.36 million.
The brand’s wholly-owned HMSI subsidiary in India was by far its largest Asian contributor, 22.6% up to 4.138 million. Astra Honda in Indonesia, a JV affiliate with the British Jardine Matheson trading conglomerate, was in hot pursuit, 5% up to 3.619 million. An economic recovery in Vietnam lifted unit sales there by 12.6% to 1.774 million. Only Thailand, still subject to a struggling economy, was in any sense on the back foot, 7% down to 1.004 million. Elsewhere, Honda’s Brazilian manufacturing hub in Manaus, supplying emerging markets throughout Latin America, notably increased output by 7.3% to 974,000 units.
Developed-world markets weren’t shabby either. Higher-margin European sales volume rose by 11.4% to 361,000 units. And North America put on 10.4% to 413,000. Only Japanese domestic sales were a disappointment, falling by 12.7% to 158,000 units.
All major markets have since been revised upwards in full-year unit sales forecasts to 31 March 2025. Japan should reach 225,000. North American headcount is destined for 545,000. Europe is in line for 485,000. Asia will be boasting 17.505 million and other emerging regions 1.84 million. Finally, the overall total – which had already been elevated to 20.2 million – is now targeting a record 20.6 million units.
Yen-sterling currency translation at forex rates applicable on 13 February