Honda Motor Co posts $276 mn loss in March quarter due to coronavirus, lockdown; sales decline 15%

Tokyo: Japanese automaker Honda Motor Co. sank deeper into losses for the fiscal quarter that ended in March, as the damage to the industry from the coronavirus outbreak hurt sales and crimped production.

Tokyo-based Honda reported Tuesday a January-March loss of 29.5 billion yen ($276 million).

The maker of the Odyssey minivan and Asimo robot had reported a 13 billion yen loss for the same period in 2019, when it was hurt by various expenses and an unfavorable exchange rate.

Quarterly sales declined almost 15 percent to nearly 3.5 trillion yen ($32 billion).

Honda, which also makes motorcycles, did not provide forecasts for the current fiscal year because of uncertainties caused by the pandemic.

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It said it will give projections as soon as possible.

Honda stressed it was putting the safety of its workers, dealers, suppliers and customers first.

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Rival Toyota Motor Corp. also reported dismal earnings earlier in the day. Japan’s top automaker logged a net profit of 63.1 billion yen ($590 million) for the quarter ended in March, nose-diving 86 percent from the year before.

Nissan Motor Co, whose fortunes have been rocky since its former chairman Carlos Ghosn was arrested and then escaped to Lebanon while awaiting trial, reports financial results later this month.