Honda expects a loss of up to 690 billion yen this fiscal year due to adjustments in their electric vehicle strategy.

MaticHoleFiller · 2026-03-12T08:37:39+00:00

Honda Motor Co. has lowered its earnings forecast for the 2025/26 fiscal year to a loss of 420 billion to 690 billion yen due to a reassessment of its electrification strategy. The slowdown in the North American electric vehicle market, along with the cancellation of some R&D and launch plans, is expected to result in future expenditures and losses reaching 2.5 trillion yen.

MaticHoleFiller

2026-03-12 08:37:39

Abstract generation in progress

Honda Motor Co. announced on Thursday that after reassessing its electrification strategy, it has lowered its performance forecast for the fiscal year ending March 2026 to a loss of 420 billion to 690 billion yen (approximately $2.6 billion to $4.3 billion).

Due to the “slowing North American electric vehicle market,” the Japanese automaker has canceled some development and launch plans for electric vehicles manufactured in the United States. It is expected that strategic shifts will result in up to 2.5 trillion yen in expenses and losses over the next several fiscal years.

Honda previously projected a profit of 300 billion yen for the 2025/26 fiscal year.

View Original

This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.