Honda Motor has increased its operational profit significantly for the fiscal year ended March 31, 2022. The company’s overall profit was JPY 871.2 billion, an increase of JPY 211.0 billion year on year (YoY).
The Japanese manufacturer noted that it was achievable “mainly owing to effectiveness in cost reduction and incentive control, as well as beneficial currency impacts.” It went on to say:
This was all despite certain unfavourable factors such as the resurgence of COVID-19, a decrease in automobile unit sales due to the semiconductor supply shortage and an increase in the cost of raw materials.
Profit increased as a result of an increase in sales income. Honda reported overall sales revenue of JPY 14,552.6 billion, representing a 10.5 percent rise year on year.
Honda attributed the increase to an increase in overall car demand in numerous major regions across the world. It stated that the overall demand in the automobile business allowed for a higher total sales volume.
Honda intends to optimize revenues in the coming fiscal year by diversifying its product selection and increasing its global reach.
