TOKYO — Honda Motor Co., the Japanese automotive manufacturer, announced a 7% drop in its profits for the three quarters ending in December. This decrease came on the heels of the company deciding to halt discussions regarding a potential merger with Nissan.
Despite a robust performance in its motorcycle division, Honda faced challenges in its automobile sales in both the Chinese and Japanese markets. In contrast, the demand for its vehicles remained strong in the United States.
For the period spanning April to December 2024, Honda’s profits reached 805 billion yen (approximately $5 billion), a decline from 869.6 billion yen reported during the same timeframe in 2023.
However, the company did see an increase in overall sales, which rose almost 9% to reach 16.3 trillion yen (around $106 billion).
In December, Honda, along with its compatriots Nissan Motor Corp. and the smaller Mitsubishi Motors Corp., announced intentions to form a joint holding company. Nonetheless, on Thursday, they revealed the cessation of these discussions, while reaffirming their commitment to continue existing collaborations focused on electric vehicles and smart automotive technologies.
