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JAPAN'S HONDA SEES DECLINING PROFITS ON SEMICONDUCTOR CRUNCH
Techlife News
|August 13, 2022
Honda’s fiscal first quarter profit fell 33% from last year as a global computer chip shortage, a pandemic-related lockdown in China and the rising costs of raw materials hurt the Japanese automaker.
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Tokyo-based Honda Motor Co. reported that its profit totaled 149.2 billion yen ($1.1 billion) in the April-June quarter, down from 222.5 billion yen ($1.7 billion) a year earlier. Quarterly sales slipped 7% to 3.8 trillion yen ($28 billion).
Honda kept its profit forecast for the full fiscal year through March 2023 unchanged at 710 billion yen ($5.3 billion).
The semiconductor shortage has hurt all the world’s automakers, including Honda, despite strong demand, and the manufacturers have been scrambling to secure alternative suppliers.
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