TOKYO: Honda reported Tuesday its fiscal third quarter profit more than doubled to 284 billion yen ($2.7 billion) despite the coronavirus pandemic as auto sales grew in Japan and the US
Japanese automaker Honda Motor Co. had reported a 116 billion yen profit for October-December a year earlier.
Honda’s quarterly sales inched up less than 1 percent to 3.7 trillion yen ($35 billion).
Cost cuts also helped boost Honda’s bottom line, despite difficulties caused by the pandemic, including computer chip shortages, according to Tokyo-based Honda.
The maker of the Accord sedan, CR-V crossover and Asimo robot said it carried out a major review of its operations to streamline expenses.
Honda said its motorcycle sales slipped in the three months through December to about 3 million motorcycles from 3.1 million units a year ago.
Auto sales held up, increasing slightly to 809,000 vehicles from 808,000 vehicles.
Honda raised its profit forecast for the year through March to 465 billion yen ($4.4 billion), up from the previous projection for a 390 billion yen ($3.7 billion) profit.
The latest forecast is also better than the 456 billion yen profit Honda earned the previous fiscal year.
But Honda warned the outlook remains uncertain because the impact from COVID-19 was still unclear.
Japanese rivals Nissan Motor Co. and Toyota Motor Corp. also report earnings this week.
The pandemic has affected industries, companies and regions differently, mostly negatively.
But some companies, including Honda, have proved resilient, holding better than some others.
Japan automaker Honda’s profit rises despite pandemic damage
https://arab.news/zcgk6
Japan automaker Honda’s profit rises despite pandemic damage
- Honda’s quarterly sales inched up less than 1 percent to 3.7 trillion yen ($35 billion)
Closing Bell: TASI sheds points to close at 10,416
RIYADH: Saudi equities closed sharply lower on Sunday, with the Tadawul All Share Index falling 109.44 points, or 1.04 percent, to 10,416.65.
Losses were mirrored across other benchmarks, with the MT30 Index declining 11.31 points, or 0.81 percent, to 1,378.35, while the Nomu Parallel Market Index dropped 186.91 points, or 0.80 percent, to 23,244.02.
Trading activity saw 136 million shares change hands, with a total value of SR2.40 billion ($640 million).
On the stock level, gains were led by Flynas Co., which closed at SR64.10, up SR3.10, or 5.08 percent.
Arabian Mining Co. ended the session at SR88, rising SR4, or 4.76 percent, while Saudi Industrial Export Co. settled at SR2.20, gaining SR0.10, or 4.76 percent.
Raoom Trading Co. also advanced, closing at SR62.75, up SR1.70, or 2.78 percent, and Saudi Cable Co. finished higher at SR148, adding SR3.40, or 2.35 percent, bucking the broader market weakness.
On the losing side, Mutakamelah Cooperative Insurance Co. posted the steepest decline, closing at SR10.54, down SR0.96, or 8.35 percent.
Wafrah Co. for Industry and Development followed, ending at SR19.50, falling SR1.50, or 7.14 percent.
Shares of Consolidated Grunenfelder Saady Holding Co. retreated sharply, closing at SR8.92, down SR0.68, or 7.08 percent, while Leejam Sports Co. slid to SR94, shedding SR6.80, or 6.75 percent.
Saudi Research and Media Group Co. also ended the session notably lower, closing at SR127, down SR9, or 6.62 percent.
On the announcements front, Naqi Water Co. said it has signed an addendum to its previously disclosed contract to purchase a bottled drinking water production line for its new factory in Riyadh, expanding the project scope to include two independent production lines instead of one.
The amendment increases total production capacity to 120,000 bottles per hour, up 20 percent from the previously targeted capacity, enhancing operational flexibility, reliability, and production stability.
The total contract value has been repriced to €9.58 million ($11.28 million), compared with the originally announced €8.54 million, reflecting the expanded scope and the adoption of innovative packaging solutions aimed at reducing plastic usage and lowering production costs.
The company said the financial impact is expected to commence in the fourth quarter of 2026.
Naqi Water Co.’s shares closed at SR57.40, declining SR1.60, or 2.71 percent, following the disclosure.
