Honda Motor Co. (HMC) shares surged 5.71% in pre-market trading on Wednesday, driven by a much stronger-than-expected quarterly earnings report and an optimistic revision to its full-year profit outlook.
The automaker posted earnings of $2.18 per share for the quarter, crushing the analyst consensus estimate of $1.27 by a wide margin. This represents a 124.74% jump compared to earnings of $0.97 per share in the same period last year. Revenue also grew 2.96% to $38.036 billion. The company significantly raised its consolidated earnings forecast for the fiscal year ending March 2027, citing the tailwind from a weaker yen and an ongoing profit recovery as key factors behind the upgraded outlook.
Honda's strong performance was also supported by higher sales in the U.S. and motorcycle business growth in India and Brazil, while the weaker yen boosted the value of overseas profits, reinforcing investor confidence in its strategic direction.
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