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Honda reported significantly lower-than-expected fourth-quarter earnings, with operating profit plummeting 76% due to US tariffs. Full-year revenue rose slightly to 21.69 trillion yen, but operating profit fell 12.2% to 1.21 trillion yen, and net profit dropped 24.5%. The company anticipates a substantial decline in profit for the current fiscal year, projecting a nearly 59% drop in operating profit and a 70.1% decrease in net profit, citing the impact of global tariff policies as a major factor. Honda has shifted its dividend policy and is producing its next-generation Civic hybrid in Indiana to avoid tariffs.

Prepared by Christopher Adams and reviewed by editorial team.