Honda solves chip issue, but forecast remains unchanged

The third quarter of financial year 2026 brought no relief to Honda’s sales woes: volume fell 15% year-on-year to 881,000 units, including declines in its largest regional markets, North America and Asia. This was part of the reason for its 61% drop in operating profit, though many of the largest negative items on its income statement continue to stem from electric vehicle (EV) market slowdown and US tariffs.