Honda Posts Record Profits in Q1, 2012

Honda Motor Corporation of Japan, the world’s largest two wheeler company, has posted record profit in Q1,  2012  on the back of strong demand in Asia and North America. The company’s net profit has jumped 61% in the 2012 Q1 compared to earlier quarter.  The company reported net profit of 71.59 billion yen (Rs. 4,600 crore approximately).  This is tremendous performance as last year the production was hurt by flood and earthquake.

Company’s performance is improved due to increase in demand in North America, Japan and Asia. The company’s India operation has performed very well in the first quarter of 2012. Both the car and two wheeler segment has shown tremendous growth. Globally Honda has sold 3.45 million two wheelers for the January to March 2012 quarter there by registered growth of 17.8% compared to year ago period in the last year. The company has sold 0.65 million units of two wheeler in the first quarter of 2012 in India.

Honda hopes to continue the outstanding performance throughout the year. The company is expected to gain market share in Asia, particular China region by new bike launches. It is also planning new plants in the upcoming months to boost sales.

-Mahavir Kothari