Honda raises annual profit forecast despite quarterly earnings falling short of expectations

The forecast increase, from a previous forecast of 650 billion yen, comes in a report in which Honda reported a profit of 118 billion yen for the quarter that ended in September. This was worse than expected.

Analysts had expected 265 billion yen, according to Bloomberg.

Honda took a large write-down on its major investment in electric cars earlier this year and is now clearly investing in plug-in hybrid models instead. This includes an investment in a new production line for next-generation hybrid cars in Ohio, USA, with an annual production capacity of 240,000 cars.