TOKYO (Reuters) – Honda Motor Co on Tuesday reported a 4.1 percent fall in second-quarter profit, missing analyst estimates, as it struggles with product recalls in the United States and Japan that could delay the development of new models.
Japan’s third-biggest automaker by revenue booked 164.4 billion yen ($1.52 billion) in operating profit for July-September, compared with a 184.1 billion yen mean estimate of 14 analysts polled by Thomson Reuters.
The automaker also kept its forecast for the full year ending March 31 at 770 billion yen.
The result comes as U.S. consumers announced a lawsuit against Honda in relation to its recall of over 5 million cars carrying potentially defective airbags from Takata Corp (7312.T).
Last week, Honda also apologized for the fifth domestic recall of its Fit hybrid subcompact and said it would re-examine its process for developing cars.
