Hyperdrive
Honda Raises Profit Outlook as Weak Yen Makes Up for Cost Pressures
- Honda sees benefits from weak yen, supply chain challenges
- Share buyback may help lift shares that are up 6% this year
Photographer: Kiyoshi Ota/Bloomberg
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Honda Motor Co. raised its full-year operating profit target, as a weaker yen helps to bolster income brought home and make up for rising material costs and supply chain constraints. The carmaker also unveiled a 100 billion yen ($741 million) buyback, for as much as 1.9% of its shares.
Profit for the year through March 2023 is forecast to reach 830 billion yen, the carmaker said in a statement Wednesday. That’s an upgrade from the outlook for 810 billion yen announced three months ago, and below the average analyst estimate of 909 billion yen.