As you’d expect from the dominant global manufacturer, Honda’s motorcycle business hit the ground running in its Q1 results to 30 June 2024, beating almost every parameter in terms of growth. BDN financial editor Roger Willis reports.
Revenue for the period climbed by 23.9% to £4.989bn. Operating profit was 23.7% up to 945.2m. But operating margin fell very slightly from 19% to 18.9%.
Worldwide unit sales volume rose by 13.2% to 5.062 million. Asian markets were the biggest contributor, rising by 13.1% to 4.275 million. Europe grew by 16% to 138,000. North America put on 10% to 132,000. Other regions taken together added 18.2% at 467,000. Only Japanese domestic sales let the side down, falling by 13.8% to 50,000.
Wholesale volume activity in Honda’s largest individual markets was led by its wholly-owned HMSI subsidiary in India, increasing by 48.5% to 1.414 million. Vietnam was 5% up to 531,000. The Astra Honda joint-venture with British conglomerate Jardine Matheson in Indonesia made a modest 0.6% advance to 1.122 million. Honda’s wholly-owned Brazilian manufacturing hub at Manaus registered 17.5% growth to 318,000. The Honda plant in Thailand — which is still afflicted by the throes of an economic downturn — was the only disappointment, with output falling by 10.2% to 355,000.
Honda is still absolutely confident about its full-year forecast targets set at the beginning of April. This anticipates total annual volume rising by 5.2% to 19.8 million units — potentially within reach of 20 million. Asia should deliver 16.905 million. Among developed markets, Japan is expected to hit 200,000, North America 480,000 and Europe 475,000. Other regions are flagged for 1.74 million.
Yen-Sterling currency translation at forex rates applicable on 12 August