# HONDA MOTOR CO., LTD.: business model and financials

> Latest period: FY ending Mar 2026, consolidated, IFRS
> Unit: JPY millions
> Sources: 有価証券報告書－第102期(2025/04/01－2026/03/31) (S100YDD9)
> Page: https://vizora.meequs.com/en/company/honda-motor
> Retrieved: 2026-09-30T17:58:20.367Z

## Company

Honda, founded in 1948, is a company in Motorcycles listed on TSE Prime. It has 195,109 employees (consolidated).

| Field | Value |
| --- | ---: |
| Legal name | HONDA MOTOR CO., LTD. |
| Ticker | 7267 |
| Stock price | View on Yahoo Finance (https://finance.yahoo.co.jp/quote/7267.T) |
| Listing | TSE Prime |
| Head office | 東京都港区虎ノ門二丁目2番3号 |
| Representative (per filing) | 取締役 代表執行役社長 三部敏宏 |
| Founded | Sep 1948 |
| Share capital | ¥86.1B |
| Employees (consolidated) | 195,109 |
| Average salary (parent only) | ¥9.3M |
| Fiscal year end | March |
| Website | global.honda (https://global.honda/) |
| Corporate number | 6010401027577 |
| EDINET | E02166 |
| Industries (Vizora) | Motorcycles, Automobiles, Leasing, Aerospace, Industrial Machinery |

> Profile source: annual securities report (S100YDD9, filed 2026-06-18). As of filing

## Five-axis industry profile

Primary industry: Automobiles (2026-03-31)

| Axis | Industry percentile | Peers |
| --- | ---: | ---: |
| Revenue growth | 35.7 | 7 |
| Profitability | 6.3 | 8 |
| Efficiency | 31.3 | 8 |

Each axis is shown independently. Missing values are labeled unavailable; no combined score is calculated. Industry rank is not an investment recommendation.

## Key points (generated from figures)

- About 64% of Honda's sales come from Automobile business, with Motorcycle business and Financial services business making up much of the rest.
- It lost about ¥2 for every ¥100 of sales at the operating level.
- Revenue changed +0.5% from the prior year, operating profit -134.1%.

## Key figures at a glance

| Metric | Value | Note |
| --- | ---: | ---: |
| Revenue | ¥21.8T |  |
| Operating income | -¥414.3B | Margin -1.9% |
| Net income | -¥423.9B | Margin -1.9% |
| Free cash flow | ¥523.2B |  |
| Largest business | Automobile business | of segment revenue 63.6% |
| Employees (consolidated) | 195,109 |  |
| EPS | ¥-106.06 |  |
| Diluted EPS | ¥-106.06 |  |
| Book value per share | ¥487.09 |  |
| Equity ratio | 35.3% | Derived from disclosed figures |
| Shares outstanding | 4,533,000,000 |  |
| Treasury shares | 643,158,200 |  |
| Shareholders | 627,291 |  |
| Average salary (parent only) | ¥9.3M | Filing company only |
| Cash ratio | 15.1% | Cash ÷ revenue 23.2% |
| Vs. industry median margin | -3.7 pp | Automobiles |
| ROA | -1.3% | Derived from disclosed figures |

## Notable figures

- FY2026, buybacks were 2.4× dividends
- FY2026, one segment accounts for 73% of positive segment profit
- FY2026, segment profit share differs by 54 points

## What changed in 5 years

| Metric | FY ending Mar 2021 | FY ending Mar 2026 | Change |
| --- | ---: | ---: | ---: |
| Revenue | ¥13170519000000 | ¥21796610000000 | +65.5% |
| Operating income | ¥660208000000 | ¥-414346000000 | -162.8% |
| Operating margin | 5.0% | -1.9% | -6.9 pp |
| Employees | 211,374 people | 195,109 people | -7.7% |
| Cash and equivalents | ¥2758020000000 | ¥5066828000000 | +83.7% |

### Change in segment revenue mix

Span: FY ending Mar 2021 → FY ending Mar 2026. Stable segment keys are connected; unmatched shares are marked as new or reorganized. Shares use total segment revenue.

| Flow | Revenue share |
| --- | ---: |
| 二輪事業 → 二輪事業 | 13.6% |
| 四輪事業 → 四輪事業 | 63.6% |
| 四輪事業 → 事業再編・廃止 | 1.4% |
| 金融サービス事業 → 金融サービス事業 | 16.2% |
| 金融サービス事業 → 事業再編・廃止 | 2.7% |
| ライフクリエーション事業及びその他の事業 → 事業再編・廃止 | 2.4% |
| 新設・再編 → 二輪事業 | 4.9% |
| 新設・再編 → パワープロダクツ事業及びその他の事業 | 1.8% |

Segment revenue source references: 8 (derived)

## Business growth × margin

X-axis: segment revenue CAGR. Y-axis: latest operating margin. Bubble size: latest revenue. CAGR requires at least two comparable years.

| Segment | CAGR span | Revenue CAGR | Latest revenue | Operating margin | Source refs |
| --- | ---: | ---: | ---: | ---: | ---: |
| Automobile business | 5 years | +10.1% | ¥13863362000000 | -10.2% | 2 |
| Motorcycle business | 5 years | +17.6% | ¥4018837000000 | 18.2% | 2 |
| Financial services business | 5 years | +7.2% | ¥3529484000000 | 7.8% | 2 |
| Power product and other businesses | 4 years | -0.9% | ¥384927000000 | -2.8% | 2 |

## Income statement（FY ending Mar 2026, consolidated, IFRS）

| Item | Amount (JPY mn) | % of revenue | Source |
| --- | ---: | ---: | ---: |
| Revenue | 21,796,610 | 100.0% | S100YDD9 |
| Cost of revenue | 18,193,428 | 83.5% | S100YDD9 |
| Gross profit | 3,603,182 | 16.5% | 算出 |
| SG&A | 2,476,882 | 11.4% | S100YDD9 |
| Operating income | -414,346 | -1.9% | S100YDD9 |
| Pretax income | -403,300 | -1.9% | S100YDD9 |
| Income tax | -50,277 | -0.2% | S100YDD9 |
| Net income | -353,023 | -1.6% | S100YDD9 |
| Net income attributable to owners | -423,941 | -1.9% | S100YDD9 |

## Per ¥100 of revenue（FY ending Mar 2026）

| Part | JPY |
| --- | ---: |
| Cost of revenue | 84 |
| SG&A | 11 |
| Other operating | 7 |
| Operating income | -2 |
| (Ref.) Net income | -2 |

### Margin funnel

Gross margin 16.5% → Operating margin -1.9% → Net margin -1.9%
Derived from reported figures (DERIVED).

## Revenue and profit pattern

Pattern: Turned to a loss
Calculated from comparable annual consolidated filings.

## Year over year（FY ending Mar 2025 → FY ending Mar 2026、JPY mn）

| Metric | Prior | Current | Change | % change |
| --- | ---: | ---: | ---: | ---: |
| Revenue | 21,688,767 | 21,796,610 | 107,843 | +0.5% |
| Gross profit | 4,663,979 | 3,603,182 | -1,060,797 | -22.7% |
| Operating income | 1,213,486 | -414,346 | -1,627,832 | -134.1% |
| Net income attributable to owners | 835,837 | -423,941 | -1,259,778 | -150.7% |
| Operating cash flow | 292,152 | 1,135,261 | 843,109 | +288.6% |
| Free cash flow | -218,651 | 523,196 | 741,847 | — |

## History（JPY mn）

| Period | Revenue | Op. income | Op. margin | Net income | Op. CF | FCF | Source |
| --- | ---: | ---: | ---: | ---: | ---: | ---: | ---: |
| FY ending Mar 2017 | 13,999,200 | 840,711 | 6.0% | 616,569 | 885,073 | — | S100LLW5 |
| FY ending Mar 2018 | 15,361,146 | 833,558 | 5.4% | 1,059,337 | 987,671 | 572,108 | S100G0M9 |
| FY ending Mar 2019 | 15,888,617 | 726,370 | 4.6% | 610,316 | 775,988 | 355,220 | S100IT9V |
| FY ending Mar 2020 | 14,931,009 | 633,637 | 4.2% | 455,746 | 979,415 | 609,220 | S100LLW5 |
| FY ending Mar 2021 | 13,170,519 | 660,208 | 5.0% | 657,425 | 1,072,379 | 753,969 | S100OBEJ |
| FY ending Mar 2022 | 14,552,696 | 871,232 | 6.0% | 707,067 | 1,679,622 | 1,411,479 | S100R1U9 |
| FY ending Mar 2023 | 16,907,725 | 780,769 | 4.6% | 651,416 | 2,129,022 | 1,653,974 | S100TNE0 |
| FY ending Mar 2024 | 20,428,802 | 1,381,977 | 6.8% | 1,107,174 | 747,278 | 398,598 | S100VYOD |
| FY ending Mar 2025 | 21,688,767 | 1,213,486 | 5.6% | 835,837 | 292,152 | -218,651 | S100YDD9 |
| FY ending Mar 2026 | 21,796,610 | -414,346 | -1.9% | -423,941 | 1,135,261 | 523,196 | S100YDD9 |

## People and productivity（FY ending Mar 2026, consolidated, IFRS）

| Metric | Value |
| --- | ---: |
| Revenue per employee (consolidated) | ¥111.7M |
| Operating income per employee (consolidated) | -¥2.1M |
| Net income per employee (consolidated) | -¥2.2M |

Employees, revenue and profit are consolidated. Average annual salary is a separate parent-company figure. Calculated from disclosed figures (DERIVED).

| History | FY ending Mar 2022 | FY ending Mar 2023 | FY ending Mar 2024 | FY ending Mar 2025 | FY ending Mar 2026 |
| --- | ---: | ---: | ---: | ---: | ---: |
| Employees (consolidated) | 204,035 | 197,039 | 194,993 | 194,173 | 195,109 |
| Average salary (parent company) | ¥7.8M | ¥8.2M | ¥8.3M | ¥9M | ¥9.3M |
| Average age (parent company) | 44.7 years | 44.7 years | 44.7 years | 44.5 years | 43.9 years |
| Average tenure (parent company) | 22.2 years | 22.0 years | 21.9 years | 21.3 years | 21.0 years |

Year over year: Employees (consolidated) +0.5% · Revenue (consolidated) +0.5%

## Segments（FY ending Mar 2026, consolidated, IFRS、JPY mn）

| Segment | Revenue | Share | Op. income | Op. margin |
| --- | ---: | ---: | ---: | ---: |
| Motorcycle business | 4,018,837 | 18.4% | 731,926 | 18.2% |
| Automobile business | 13,863,362 | 63.6% | -1,411,140 | -10.2% |
| Financial services business | 3,529,484 | 16.2% | 275,532 | 7.8% |
| Power product and other businesses | 384,927 | 1.8% | -10,664 | -2.8% |

### segmentMix — Revenue and profit mix

Calculated from disclosed figures (DERIVED). Shares use total segment revenue and total positive segment profit respectively. Difference = profit share − revenue share (pt). Inter-segment sales may prevent reconciliation to company revenue.

| Segment | Revenue share | Profit share | Difference (pt) | Margin |
| --- | ---: | ---: | ---: | ---: |
| Motorcycle business | 18.4% | 72.7% | 54.2 | 18.2% |
| Automobile business | 63.6% | — | — | -10.2% |
| Financial services business | 16.2% | 27.3% | 11.2 | 7.8% |
| Power product and other businesses | 1.8% | — | — | -2.8% |

Loss-making segment (excluded from profit shares): Automobile business -1,411,140 JPY mn

Loss-making segment (excluded from profit shares): Power product and other businesses -10,664 JPY mn

Segment → industry: Motorcycle business → Motorcycles / Automobile business → Automobiles / Financial services business → Leasing / Power product and other businesses → Aerospace / Power product and other businesses → Industrial Machinery

## Revenue by geography

No geographic revenue breakdown was disclosed.

## Cash flow（FY ending Mar 2026, consolidated, IFRS）

| Item | Amount (JPY mn) | % of revenue | Source |
| --- | ---: | ---: | ---: |
| Operating cash flow | 1,135,261 | 5.2% | S100YDD9 |
| Capital expenditure | 612,065 | 2.8% | S100YDD9 |
| Free cash flow | 523,196 | 2.4% | 算出 |
| Investing cash flow | -852,166 | -3.9% | S100YDD9 |
| Financing cash flow | -36,917 | -0.2% | S100YDD9 |
| Dividends paid | 284,390 | 1.3% | S100YDD9 |
| Share buyback | 670,270 | 3.1% | S100YDD9 |
| Change in cash | 589,682 | 2.7% | S100YDD9 |
| Cash and equivalents | 5,066,828 | 23.2% | S100YDD9 |

## Balance sheet

Figures are as of each fiscal year end. Derived values are marked as such in the source column. Lease liabilities are excluded from interest-bearing debt.

| Metric | FY ending Mar 2022 | FY ending Mar 2023 | FY ending Mar 2024 | FY ending Mar 2025 | FY ending Mar 2026 | Source |
| --- | ---: | ---: | ---: | ---: | ---: | ---: |
| Cash and equivalents | 3,674,931 | 3,803,014 | 4,954,565 | 4,528,795 | 5,066,828 | S100TNE0, S100VYOD, S100YDD9 |
| Total assets | 23,973,153 | 24,670,067 | 29,774,150 | 30,775,867 | 33,509,285 | S100R1U9, S100TNE0, S100VYOD, S100YDD9 |
| Net assets | 10,772,546 | 11,502,291 | 13,005,872 | 12,627,822 | 12,148,072 | S100TNE0, S100VYOD, S100YDD9 |
| Share capital | 86,067 | 86,067 | 86,067 | 86,067 | 86,067 | S100R1U9, S100TNE0, S100VYOD, S100YDD9 |
| Property, plant and equipment | 3,079,407 | 3,168,109 | 3,234,413 | 3,209,921 | 3,196,382 | S100R1U9, S100TNE0, S100VYOD, S100YDD9 |
| Current assets | 8,841,425 | 9,578,348 | 11,872,564 | 11,687,762 | 13,074,752 | S100R1U9, S100TNE0, S100VYOD, S100YDD9 |
| Total liabilities | 13,200,607 | 13,167,776 | 16,768,278 | 18,148,045 | 21,361,213 | S100R1U9, S100TNE0, S100VYOD, S100YDD9 |
| Equity attributable to owners of parent | 10,472,824 | 11,184,250 | 12,696,995 | 12,326,529 | 11,817,512 | S100R1U9, S100TNE0, S100VYOD, S100YDD9 |
| Retained earnings | 9,539,133 | 9,980,128 | 10,644,213 | 11,122,187 | 9,375,989 | S100R1U9, S100TNE0, S100VYOD, S100YDD9 |
| Treasury stock | -328,309 | -484,931 | -550,808 | -1,272,845 | -896,927 | S100R1U9, S100TNE0, S100VYOD, S100YDD9 |

### Assets and funding mix

| Assets | Share | Source |
| --- | ---: | ---: |
| Cash | 15% | S100YDD9 |
| Property, plant and equipment | 10% | S100YDD9 |
| Other assets | 75% | S100YDD9 |

| Funding source | Share | Source |
| --- | ---: | ---: |
| Other liabilities | 64% | S100YDD9 |
| Equity | 36% | S100YDD9 |

### Balance sheet history

| Metric | FY ending Mar 2022 | FY ending Mar 2023 | FY ending Mar 2024 | FY ending Mar 2025 | FY ending Mar 2026 |
| --- | ---: | ---: | ---: | ---: | ---: |
| Total assets | 23,973,153 | 24,670,067 | 29,774,150 | 30,775,867 | 33,509,285 |
| Equity | 10,772,546 | 11,502,291 | 13,005,872 | 12,627,822 | 12,148,072 |
| Interest-bearing debt | — | — | — | — | — |
| Cash | 3,674,931 | 3,803,014 | 4,954,565 | 4,528,795 | 5,066,828 |

## Asset intensity and goodwill

Ratios are derived from reported values. Goodwill is used only when separately reported, never inferred from combined intangible assets.

| Metric | Value | Sources |
| --- | ---: | ---: |
| Asset intensity (fixed assets ÷ revenue) | 14.7% | S100YDD9 |
| Fixed assets ÷ total assets | 9.5% | S100YDD9 |
| Goodwill ÷ parent equity | — | —, S100YDD9 |

### Cash quality

Net cash = cash − interest-bearing debt. Net debt ratio = (interest-bearing debt − cash) ÷ positive operating cash flow. Omit when debt components are incomplete; other ratios are derived from reported figures.

| Metric | Value |
| --- | ---: |
| Cash ratio (cash ÷ total assets) | 15.1% |
| Cash ÷ revenue | 23.2% |
| Net cash (cash − interest-bearing debt) | — |
| Net debt ÷ operating cash flow | — |
| Cash conversion (operating CF ÷ operating income) | — |
| Cash vs. profit gap | 1,559,202 JPY mn |
| Shareholder returns / net income | — |
| Shareholder returns / FCF | 182.5% |
| Shareholder payments — dividends / net income | — |
| Shareholder payments — dividends / FCF | 54.4% |
| CapEx intensity (capex ÷ revenue) | 2.8% |
| Investing CF relative to operating CF | 75.1% |

## ROA and ROE

ROE is decomposed into net margin × asset turnover × financial leverage. Leverage can raise ROE, so the ratio alone does not assess a company's condition. Ending balances are used without a prior year; total equity approximates parent equity when unavailable.

| Period | Net margin | Asset turnover | ROA | Financial leverage | ROE | Sources |
| --- | ---: | ---: | ---: | ---: | ---: | ---: |
| 2022 | 4.9% | 0.61× | 2.9% | 2.29× | 6.8% | S100R1U9 |
| 2023 | 3.9% | 0.70× | 2.7% | 2.25× | 6.0% | S100TNE0 |
| 2024 | 5.4% | 0.75× | 4.1% | 2.28× | 9.3% | S100VYOD |
| 2025 | 3.9% | 0.72× | 2.8% | 2.42× | 6.7% | S100YDD9 |
| 2026 | — | —× | -1.3% | —× | — | S100YDD9 |

## Ownership

| Counterparty | Relation | Ratio | As of |
| --- | ---: | ---: | ---: |
| 日本マスタートラスト信託銀行株式会社(信託口) | Major shareholder | 17.5% | 2026-03-31 |
| 株式会社日本カストディ銀行(信託口) | Major shareholder | 7.1% | 2026-03-31 |
| モックスレイ・アンド・カンパニー・エルエルシー(常任代理人 株式会社三菱UFJ銀行) | Major shareholder | 5.7% | 2026-03-31 |
| 明治安田生命保険相互会社(常任代理人 株式会社日本カストディ銀行) | Major shareholder | 3.5% | 2026-03-31 |
| ステート ストリート バンク アンド トラスト カンパニー 505001(常任代理人 株式会社みずほ銀行) | Major shareholder | 2.5% | 2026-03-31 |
| 日本生命保険相互会社(常任代理人 日本マスタートラスト信託銀行株式会社) | Major shareholder | 1.5% | 2026-03-31 |
| JPモルガン証券株式会社 | Major shareholder | 1.5% | 2026-03-31 |
| ジェーピー モルガン チェース バンク 385781(常任代理人 株式会社みずほ銀行) | Major shareholder | 1.5% | 2026-03-31 |
| 野村信託銀行株式会社(投信口) | Major shareholder | 1.1% | 2026-03-31 |
| 株式会社日本カストディ銀行(信託口４) | Major shareholder | 1.0% | 2026-03-31 |

## AI commentary（text by AI; the tables above are authoritative、claude-code）

- Revenue for FY ending Mar 2026 was ¥21.8T, almost flat from ¥21.7T (+0.5%).
- Operating income swung from ¥1.21T to -¥414.3B, and net income attributable to owners fell from ¥835.8B to -¥423.9B.
- Cash flow moved the other way: operating cash flow rose from ¥292.2B to ¥1.14T, and free cash flow turned positive at ¥523.2B after -¥218.7B the year before.

### Drivers

- The car business booked losses from cancelling some EV models and cutting EV production.
- US tariffs squeezed profit on gasoline and hybrid cars.
- Motorcycle sales volumes rose in markets such as India and Brazil, lifting both revenue and profit in that business.

### Risks

- Honda says the EV plan review could bring more costs or losses in coming years.
- Shifting tariffs and export rules, plus higher material prices linked to the Middle East situation, are expected to weigh on results.
- Parts supply is uncertain, including China's rare earth export controls and shortages of chips and memory.

Cited: Annual Securities Report (102nd term) (経営者による財政状態、経営成績及びキャッシュ・フローの状況の分析); Annual Securities Report (102nd term) (事業等のリスク)

## Sources

| Document | ID | Published | URL |
| --- | ---: | ---: | ---: |
| 有価証券報告書－第102期(2025/04/01－2026/03/31) | S100YDD9 | 2026-06-18 | https://disclosure2.edinet-fsa.go.jp/WZEK0040.aspx?S100YDD9,, |
| 有価証券報告書－第101期(2024/04/01－2025/03/31) | S100VYOD | 2025-06-18 | https://disclosure2.edinet-fsa.go.jp/WZEK0040.aspx?S100VYOD,, |
| 有価証券報告書－第100期(2023/04/01－2024/03/31) | S100TNE0 | 2024-06-19 | https://disclosure2.edinet-fsa.go.jp/WZEK0040.aspx?S100TNE0,, |
| 有価証券報告書－第99期(2022/04/01－2023/03/31) | S100R1U9 | 2023-06-23 | https://disclosure2.edinet-fsa.go.jp/WZEK0040.aspx?S100R1U9,, |
| 有価証券報告書－第98期(令和3年4月1日－令和4年3月31日) | S100OBEJ | 2022-06-22 | https://disclosure2.edinet-fsa.go.jp/WZEK0040.aspx?S100OBEJ,, |
| 有価証券報告書－第97期(令和2年4月1日－令和3年3月31日) | S100LLW5 | 2021-06-23 | https://disclosure2.edinet-fsa.go.jp/WZEK0040.aspx?S100LLW5,, |
| 有価証券報告書－第96期(平成31年4月1日－令和2年3月31日) | S100IT9V | 2020-06-19 | https://disclosure2.edinet-fsa.go.jp/WZEK0040.aspx?S100IT9V,, |
| 有価証券報告書－第95期(平成30年4月1日－平成31年3月31日) | S100G0M9 | 2019-06-19 | https://disclosure2.edinet-fsa.go.jp/WZEK0040.aspx?S100G0M9,, |
| 有価証券報告書－第94期(平成29年4月1日－平成30年3月31日) | S100D7P7 | 2018-06-20 | https://disclosure2.edinet-fsa.go.jp/WZEK0040.aspx?S100D7P7,, |
| 有価証券報告書－第93期(2016/04/01－2017/03/31) | S100AF0S | 2017-06-22 | https://disclosure2.edinet-fsa.go.jp/WZEK0040.aspx?S100AF0S,, |

## Key alliances (from the filing's material contracts)

| Partner | Type | Description | Source |
| --- | ---: | ---: | ---: |
| VTホールディングス | Supply/OEM | Hondaブランド車両・部品の販売店契約 | S100YEXL |

## Definitions

- Amounts are in millions of JPY (rounded). The period is stated in each table heading
- Operating margin = operating income ÷ revenue. Net income is attributable to owners of the parent when disclosed
- Free cash flow (FCF) = operating cash flow − capital expenditure
- ¥100 model = breakdown per ¥100 of revenue (rounded so parts sum to 100)
- Segment revenues include inter-segment sales and may not sum to consolidated revenue
- Source IDs are EDINET document IDs (docID). "算出" (derived) means computed from other disclosed values
- All figures are extracted mechanically from filings. AI-written text never generates figures
- Source: company filings submitted to EDINET (Financial Services Agency of Japan). Figures were extracted, edited and processed, and charts and text were created, by Vizora — not by the FSA (used under the Public Data License v1.0).