May 12, 2008 – Honda: North American sales fall

For the fourth straight year, Honda ended its fiscal year with fewer motorcycle, ATV and PWC new unit sales in North America than the prior year.
Honda’s powersports segment sales in North America fell approximately 10 percent for its fiscal year, which ended March 31, compared to the previous year, according to the company’s financial report. Its new unit sales tally of 453,000 in North America is 26 percent less than two years ago.
Honda’s motorcycle sales in North America fell 14 percent compared to the previous fiscal year. Overall, the company reported a drop in worldwide motorcycle sales as other markets saw downturns, including Europe (down 5 percent) and Japan (down 7 percent). Honda’s worldwide motorcycle sales dropped 10.1 percent to 9.3 million units. The company did see increased sales in Latin America.
For its most recent quarter, Honda’s motorcycle, ATV and PWC sales fell 8.5 percent in North America compared to the previous year period. Motorcycle sales of 85,000 in that quarter were a 14 percent decrease compared to the prior-year fourth quarter.
Honda’s fourth-quarter motorcycle sales decreased in Europe (down 7.6 percent) and Japan (16.4 percent).
Overall Honda’s sales decreased 1 percent for its fourth quarter, although its auto sales in North America rose about 2 percent. Exchange rates had significant impact on the company’s quarterly revenue. Honda said if calculated at the same exchange rate as the corresponding period in 2007, its quarterly revenue would have been up nearly 4.5 percent.
For its complete fiscal year, Honda reported a 8.3 percent increase in revenue to $119 billion. The company’s net income rose 1.3 percent compared to a year ago. Honda’s auto sales for its fiscal year rose 7.5 percent compared to the previous year. psb