Honda Motor Co. on May 11, 2026 announced its fiscal 2025 business results (year ending March 2026) with a net loss of 423.94 billion yen ($2.7 billion). This marks the first time since its stock exchange listing in 1957 that the Japanese automaker has recorded a full-year net loss.
Despite the negative result, Honda said it will focus on cost-cutting measures and optimizing production operations to improve profitability. The company targets a return to profit in fiscal 2026 (starting April 2026).
The main reasons for the loss are attributed to high restructuring costs, competitive pressure from the electric vehicle market, and macroeconomic volatility. Nevertheless, Honda management expressed optimism about business prospects in the near future.
