News Releases 2004
| Printer Friendly Printer Friendly

CorporateJapanJuly 28, 2004
Consolidated Financial Summary for the Fiscal First Quarter Ended June 30, 2004

Unit sales of motorcycles, automobiles and power products increased both in Japan and overseas; all-time record 1st Qtr results for net sales and other operating revenue, income before income taxes and net income.

Results for the Fiscal 1st Qtr ended June 30, 2004 (*record result for Fiscal 1st Qtr)

  1st Qtr ended June 30, 2004 (billions of JPY) 1st Qtr ended June 30, 2003 (billions of JPY) Difference billions of JPY (% change)
Net sales and other operating revenue 2,073.1* 2,008.2 + 64.9 (+ 3.2%)
Operating income 159.9 159.4 + 0.5 (+ 0.3%)
Income before income taxes 174.0* 147.9 + 26.0 (+17.6%)
Net income 114.2* 101.8 + 12.4 (+12.2%)


Basic net income per common share JPY 121.65* JPY 106.02 + 15.63 (+14.7%)
  (Honda’s average rates: JPY 110 = U.S. dollar 1 JPY 132 = Euro 1)
Note: Certain reclassifications have been made to the operating income of the prior year’s fiscal first quarter to conform to the presentation used for the fiscal first quarter ended June 30, 2004.


Honda realized all-time records for consolidated net sales and other operating revenue for the fiscal first quarter. Unit sales of motorcycles, automobiles and power products increased in Japan and overseas and all set all-time 1st Qtr records. Consolidated operating income increased mainly due to increased revenues and cost reduction effects which offset the negative effect from depreciation of the U.S. dollar. Honda’s consolidated income before income taxes and consolidated net income also both marked record highs for the first quarter.

  (Unit Sales)
Motorcycles: 2.582 million (+29.0%); mainly attributable to an increase in overseas production parts bound for Asia and an increase in ATV sales in North America.

Automobiles: 772 thousand (+9.0%); domestic sales rose approximately by 1,000 units led by strong sales of the Odyssey, Life, and Elysion offsetting a decline in Fit sales; an increase of 3,000 units in the U.S. was offset by a decline in Canada, resulting in a 6,000 unit decline in North America. Further, strong sales of the diesel Accord, Civic and Jazz led to a 10,000 unit increase in Europe. A 43,000 unit increase was realized in Asia mainly due to an increase in overseas production parts bound for China and growth in Indonesia, India, and Thailand.

Power Products: 1.387 million (+14.0%); the increase was due primarily to sales growth in North America

- Consolidated net sales and other operating revenue rose to JPY 2,073.1 billion (+3.2%) due to unit sales increases in all business areas notwithstanding a negative impact from currency translation effects. (If the exchange rate from the same period during the previous fiscal year was applied, Honda estimates that an increase in revenue of approximately 7.7% would have been realized.)

- Consolidated operating income increased to JPY 159.9 billion (+0.3%) mainly due to increased revenues and cost reduction effects, notwithstanding the negative effects from currency translation effects of  JPY -41.9 billion.

- Consolidated net income increased to JPY 114.2 billion (+12.2%) due to increased equity in income of affiliates in Asian markets totaling JPY 18.8 billion (+47.7%). This gain was realized despite the fact that Honda incurred an additional tax due to a reassessment of transfer pricing related to its motorcycle operation in Brazil.



Forecasts for Fiscal Year Ending March 31, 2005


A 5th consecutive all-time record is forecast for consolidated net sales and other operating revenue based on all-time record unit sales plans for motorcycles 9.29 million units, automobiles 3.255 million units and power products 5.60 million units. Honda’s targeted consolidated operating income, income before income taxes and net income for the fiscal year ending March 31, 2005 are as follows:


  Current forecast for year ending March 31, 2005
(billions of JPY)
Year ended March 31, 2004
(billions of JPY)
Difference billions of JPY
(% change)
April 27, 2004 forecast
(billions of JPY)
Net sales and other operating revenue 8,560.0 8,162.6 +397.4 (+4.9%) 8,500.0
Operating income 580.0 600.1 -20.1 (-3.4%) 560.0
Income before income taxes 550.0 641.9 -91.9 (-14.3%) 500.0
Net income 417.0 464.3 -47.3 (-10.2%) 390.0
(Honda’s average rates for the FY: JPY 107 = U.S. dollar 1 JPY 128 = Euro 1)
(Honda’s average rates for the 2nd half of the FY:JPY 105 = U.S. dollar 1 JPY 125 = Euro 1)

<< Return

Page Top

Honda Worldwide site

Home | Site Map | Site Index | About this Site

Copyright, Honda Motor Co., Ltd. and its subsidiaries and affiliates. All Rights Reserved.