Tag: Honda Cars

  • Super tax to hammer auto business in Pakistan: Honda Atlas

    Super tax to hammer auto business in Pakistan: Honda Atlas

    KARACHI: Honda Atlas Cars (Pakistan) Limited on Thursday said that super tax to hammer the already thin margins of the auto business in the country.

    The company in its detailed financial report said: “The imposition of Super Tax will further hammer the already thin margins of auto business.”

    The company said that the automobile industry is considered as one of the key sectors for rapid transformation of the economy.

    READ MORE: Suzuki Motors warns plant shutdown in Pakistan

    Likewise, the automobile industry of Pakistan epitomizes considerable growth, capacity building and technological prowess.

    “The current state of auto sector, however, has matured differently through the quarter under review. Adverse USD/PKR exchange rate parity and global supply glitches continue to undermine the Industry’s potential throughout,” it said.

    Moreover, the fiscal measures adopted by the State Bank of Pakistan (SBP) for the management of foreign reserves has unavoidably impacted the import and production schedules lately.

    READ MORE: Indus Motors rebuts plant shutdown reports

    Rupee devaluation has approached an alarming level under the vague economic and political direction; further aggravating the situation.

    “Resultantly, the car customers are facing delays in delivery, hikes in prices and temporary non- availability of some car variants,” the company said.

    Honda Atlas Cars said during the period under review, the sales and production of the four-wheeler segment have not been up to the Industry’s expectation owing to curbed auto lending, escalating inflation and soaring fuel prices.

    The overall industry production for the three months ended June 2022 remained 71,745 units in comparison with 53,915 units a year ago while car sales were observed at 73,815 units against 46,679 units during the same period.

    READ MORE: Toyota Indus Motors offers 100% refunds on booking cancellation

    The company produced 9,324 units against 7,826 units and sold 9,446 units as compared to 7,598 units in the same period of last financial year.

    The recently approved Federal Budget 2022-2023 also poses tough times ahead for the auto industry. Amid negotiations with International Monetary Fund (IMF), to release the bailout package, the Government had to enforce stringent stabilization measures. Accordingly, the purchase of automobiles with engine capacity exceeding 1300CC has now been subject to 1 per cent of Capital Value Tax (CVT).

    The advance tax on vehicles with engine capacity above 1600CC has also been significantly increased.

    These revenue measures by the Government will further burden the customers, which may affect the Industry’s sales volume.

    READ MORE: Toyota lowers July production in Japan

    The imposition of Super Tax will further hammer the already thin margins of auto business.

    The auto industry may experience a further slowdown in anticipation of price revision and rising interest rates.

    Ranging from raw material sourcing to management of stable commodity pricing and customary lead time, the automobile industry is currently in the midst of multiple challenges.

    During the quarter, the OEMs have managed to avoid potential shut down of production due to relatively higher stock levels. This led to improved financial results for the 1st quarter of the new financial year.

    During the three months ended June 30, 2022, the Company achieved net sales revenue of Rs 30,246 million as compared to Rs 21,765 million in the corresponding period last year.

    Higher production volumes with better overhead absorption helped to generate gross profit of Rs 1,915 million against Rs 1,595 million, a year ago. The selling and administrative expenses were increased to Rs 575 million against Rs 363 million.

    Other income improved to Rs 526 million against Rs 335 million owing to customers’ confidence on the Company’s products and better funds management; benefited by increased interest rates.

    The Company posted Rs 1,094 million as profit before tax in comparison to Rs 1,364 million. After statutory tax adjustments, including super tax provision, the net profit for the three month period ended June 30, 2022 came out Rs 658 million as compared to Rs 928 million of the corresponding period last year.

    The earning per share remained Rs 4.61 against Rs 6.50 for three months of the last year.

  • Honda Cars declares 29% fall in quarterly profit

    Honda Cars declares 29% fall in quarterly profit

    KARACHI: Honda Atlas Cars (Pakistan) Limited on Tuesday announced a sharp decline of over 29 per cent recorded in its net profit for the quarter ended June 30, 2022.

    READ MORE: Honda to slash production on supply constraints

    The company declared Rs658.2 million profit after tax for the quarter ended June 30, 2022 as compared with Rs928.22 million in the same quarter a year ago.

    Honda Atlas Cars (Pakistan) Limited announced earnings per share (EPS) at Rs4.61 for the period under review as compared with EPS of Rs6.5 announced for the same quarter a year ago.

    READ MORE: Suzuki starts producing outboard motors with plastic collecting device

    The board of directors of the company in their meetings held on July 26, 2022 approved the results and recommended no cash dividend, bonus shares or right shares, according to financial results submitted to the Pakistan Stock Exchange (PSX).

    According to the financial results, the company declared sales of Rs30.24 billion for the quarter ended June 30, 2022 as compared with Rs21.764 billion in the same quarter a year ago.

    READ MORE: Hyundai announces second quarter financial results

    The cost of sales increased to Rs28.33 billion for the quarter ended June 30, 2022 as compared with Rs20.17 billion in the same quarter a year ago.

    This resulted in gross profit of the company at Rs1.92 billion as compared with same quarter previous year at Rs1.59 billion.

    The overall expenses of the company rose to Rs821 million for the quarter ended June 30, 2022 as compared with Rs231.25 million in the same quarter of the last year.

    READ MORE: Honda unveils all-new Civic Type R

  • Honda to slash production on supply constraints

    Honda to slash production on supply constraints

    TOKYO, Japan: Honda Motor Co has said it may cut production due to supply constraints and logistical issues.

    READ MORE: Suzuki starts producing outboard motors with plastic collecting device

    According to foreign media, the company said that two lines at Suzuka plant will reduce production by about 10 per cent this month and 30 per cent in early August this year.

    Another plant in Saitama prefecture may also cut production to 10 per cent next month.

    READ MORE: Hyundai announces second quarter financial results

    Auto manufacturers in China are unable to escape from the impact of shortage of semiconductors and COVID-19 lockdowns.

    Toyota Motor Corp said that its global production for August would be about 700,000 units, down roughly 18 per cent from its plans at the beginning of the year.

    READ MORE: Honda unveils all-new Civic Type R

    Honda adjusted its production plan in May but had said it would return to normal in early June.

  • Honda unveils all-new Civic Type R

    Honda unveils all-new Civic Type R

    TOKYO, Japan: Honda Motor Co., Ltd. on July 21, 2022, unveiled the all-new Civic Type R, which is scheduled to go on sale in Japan in September 2022.

    At the world premiere which was held online on Thursday, Honda unveiled the exterior and interior designs of the all-new Civic Type R and announced advancements made to the vehicle’s dynamic performance.

    Overview of the all-new Civic Type R

    Grand Concept – “Ultimate SPORT 2.0”

    By further advancing the concept of the predecessor model – Ultimate SPORT – the all-new Civic Type R was developed with a goal to achieve pure sports performance that attains the ultimate in speed and the joy of driving. The value proposition of the Type R is to realize both speed, which is the essential value of a sports model, and driving pleasure, which appeals to the emotion of the driver.

    Design

    Based on the Civic Hatchback, which has been well received in the market, low & wide packaging was further pursued to elevate driving performance for the Type R model. Moreover, a forward field of vision with a wide view of the road was featured with an aim to provide information directly to the driver even while driving at a high range of speed. 

    The exterior design team strived to create styling for both overwhelming speed and beauty. The wide fenders, which are integrated with the body, are shaped to flow beautifully from the side panels and enhance aerodynamic performance by controlling air flow that continues uninterrupted from front to rear. 

    As for exterior color options, in addition to Championship White, which has been an iconic Type R color, Sonic Gray Pearl was newly added to the lineup. 

    The interior design features red seats and floor carpets that lift the spirit of the occupants from the moment they open the door, and “noiseless,” black-toned interior panels that enable the driver to focus on driving. 

    The front seats are designed with a three-dimensional polyhedral form to firmly support the body so that the driver and front passenger can feel complete confidence even while driving on a racing circuit at the vehicle’s full potential. Moreover, the adoption of a suede-like seat surface material with a high friction coefficient reduced body slippage in high-G situations such as cornering and sudden acceleration/deceleration.

    As for the meter design, in addition to the standard display, +R mode-exclusive designs were adopted. Placing the primary focus on enabling the driver to instantaneously recognize necessary information during sporty driving, including on a racing circuit, the upper part of the meter displays key information such as the engine rpm, rev indicator and gear position indicator, while the lower part functions as a multi-information display that can show vehicle information selected by the driver. By adopting an illuminated rev indicator, the driver can obtain information intuitively without keeping close watch on the indicator, along with instantaneous visual recognition of the information and a stimulating meter design. 

    Dynamics

    The development team set three goals for the dynamic performance of the all-new Civic Type R: 1) “Fastest”, representing the pursuit of overwhelming speed and being the fastest FF (front engine/front-wheel-drive) vehicle by refining and perfecting every aspect of driving feel offered by the vehicle; 2) “Addictive Feel” representing the goal to achieve dynamics that make the driver feel “addicted” to driving the vehicle by offering a thrilling driving experience; and 3) “Secure Feel”, representing the goal to ensure high-speed stability and a complete feeling of trust.

    Fastest

    Aiming to realize an all-new Type R which outperforms all previous Type R models, the 2.0-liter VTEC Turbo engine designed exclusively for Type R was further refined to achieve higher output and responsiveness to the upper limit.

    Addictive Feel

    In addition to achieving the ultimate in speed, the development team strived to create a car that makes the driver passionate about driving the vehicle. To this end, a thrilling driving experience was pursued by refining drivability with highly-responsive handing developed with an aim to realize driving at the will of the driver, a throttle that reacts immediately to driver input, and also by further advancing a feeling of control of the 6-speed manual transmission and the rev match control system. 

    Secure Feel

    On the premise of ensuring highly-sophisticated design, aerodynamics was further advanced to achieve well-balanced downforce both front and rear and a reduction of drag. Moreover, the lightweight and highly rigid body contributes to the high stability of the vehicle at high speeds.

    Furthermore, through utilization of Honda LogR, which provides real-time information on the mechanical movements of the vehicle and vehicle behavior resulting from the driver’s input, the all-new Civic Type R will provide the driver with enhanced driving pleasure with a sense of oneness between the driver and the vehicle, which includes the sharing of driving videos and helping the driver improve their driving skills. 

  • Honda Motors to start pre-orders of ZR-V SUV by September 2022

    Honda Motors to start pre-orders of ZR-V SUV by September 2022

    TOKYO, Japan: Honda Motor Co., Ltd launched a teaser of ZR-V, all new SUV on July 14, 2022, which will be sale in Japan.

    The company launched a teaser page on their official website to share initial information on the ZR-V.

    Honda will release more details about the model in stages, including its plan to begin taking pre-orders in September of this year.

    READ MORE: Honda Cars declares 40% surge in annual profit

    According to details, the company launched a teaser page on its company website to share initial information on the ZR-V, an all-new SUV scheduled to go on sale in Japan this fall. Honda will release more details about the model in stages, including its plan to begin taking pre-orders in September of this year.

    Based on the grand concept of “Unleash your potential,” the all-new ZR-V was developed as a model to uplift the spirit of customers, like a favorite “special day” piece of clothing, and bring out their individuality. Key features include beautiful and sophisticated design, developed under the key words “glamorous & elegant,” and dynamic performance, achieved with a goal to realize driving at the will of the driver.

    READ MORE: Honda Cars posts Rs928 million quarterly profit after tax

    These attributes will enable the driver to enjoy the vehicle with more confidence and in a relaxing manner, a value new to SUV models. 

    All-new ZR-V adopts smart and elegant design which makes this model fit well in urban environments. The exterior design features flowing proportions characterized by large, smooth surfaces that flow from front to rear.

    The design of the front-fascia features a vertical grille, designed in concert with surrounding areas, and sharp-looking, wide-set headlights that flow horizontally. These features create a highly sophisticated expression, yet with stature and a strong presence. The rear of the body is shaped to emphasize the vehicle’s wide tread by adding volume around the bottom of the body, with a smooth, upswept look.

    The interior design realized a spacious cabin by adopting an instrument panel that stretches out horizontally in a linear fashion. Moreover, the interior design features a functional and precise finish on all parts to accentuate the beauty of the form, creating a high-quality interior space that is one class above the competition. In addition, a high-deck center console separates the front seats to create personal space for the driver and front passenger.

    READ MORE: Honda Cars declares 82 percent decline in annual profit

    By realizing both a low, stable driving position and a view of the road with great visibility, the packaging design enhanced the ease of driving and sense of oneness the driver will feel with this vehicle.

    In addition to a wide, horizontal forward field of vision, the rear view was designed to make it easier for the driver to recognize objects behind the vehicle, including vehicles and pedestrians, thereby pursuing excellent visibility while driving.

    As with the front seats, the hip point of the rear seats was set low to allow greater freedom for the end point of the roof design, resulting in both a sleek roof line and enhanced aerodynamic performance.

    Moreover, a variety of user-friendly storage spaces are provided, ensuring excellent utility to meet various customer needs. 

    The hybrid model of the all-new ZR-V will be the first Honda SUV to be equipped with the Sports e:HEV that combines a 2.0-liter direct injection engine that debuted on the Civic e:HEV and the advanced 2-motor hybrid system (e-CVT). The all-new ZR-V e:HEV will offer a high-quality, exhilarating and one-class-above driving experience in various driving situations including driving on city and suburban roads, highways and winding roads.

    READ MORE: Atlas Honda reports 73% decline in after tax profit

    The all-new ZR-V also will be available as a gasoline-powered model equipped with a 1.5-liter turbo engine with CVT, which offers highly-responsive and sporty driving.

    Both hybrid and gasoline models offer a real-time AWD variation, which enables customers to drive on snowy roads with greater peace of mind by realizing outstanding performance in making turns and climbing up snowy roads. 

    Starting on Saturday, August 13, 2022 (Japan time), Honda will hold pre-launch showcasing of the production models of all-new ZR-V at various locations in Japan. Please visit and enjoy an initial look at the highly-sophisticated ZR-V.  

    ・August 13-14, 2022: The “BIGMAN” square at Hankyu Umeda Station, Osaka, Japan
    ・August 20-21, 2022: The event space at Tokyo Station (near the Yaesu Central Exit)
    ・August 27-28, 2022: The JR Gate Tower at Nagoya Station, Aichi, Japan

  • Honda Cars declares 40% surge in annual profit

    Honda Cars declares 40% surge in annual profit

    KARACHI: Honda Atlas Cars (Pakistan) Limited announced a sharp growth in profit by 40 per cent to Rs2.51 billion for the year ended March 31, 2022.

    According to financial results submitted to Pakistan Stock Exchange (PSX) on Thursday, the annual profit after tax of the company was Rs1.79 billion in the preceding year.

    The sales of the company increased to Rs108 billion for the year ended March 31, 2022 as compared with Rs67.36 billion in the preceding year. Meanwhile, cost of sales recorded at Rs102.47 billion for the year under review as compared with Rs63.58 billion in the preceding year.

    READ MORE: Lucky Cement announces Rs26.53 billion 9M profit

    The gross profit of Honda Atlas Cars (Pakistan) Limited also recorded a sharp increase to Rs5.58 billion for the year ended March 31, 2022 as compared with 3.7 billion in the preceding year.

    A significant increase has been seen in administrative expenses for the year under review. The administrative expenses of the company increased to Rs1.06 billion for the year ended March 31, 2022 as compared with Rs824 million in the last year.

    READ MORE: BankIslami registers 34% profit after tax during 1Q22

    The company declared a final cash dividend Rs7 per share (70 per cent) was recommended for the year ended March 31, 2022 as compared with Rs4.52 per share (45.2 per cent) declared last year.

    Honda Cars has not declared any bonus or right shares for the year ended March 31, 2022.

    READ MORE: Pak Suzuki Motor declares Rs2.68 billion annual profit

  • Honda Cars posts Rs928 million quarterly profit after tax

    Honda Cars posts Rs928 million quarterly profit after tax

    In a remarkable financial turnaround, Honda Atlas Cars (Pakistan) Limited has announced a profit after tax of Rs928 million for the quarter ended June 30, 2021.

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  • Honda Cars declares 82 percent decline in annual profit

    Honda Cars declares 82 percent decline in annual profit

    KARACHI: Honda Atlas Cars (Pakistan) Limited has posted 82 percent decline in annual profit for the period ended March 31, 2020, said a notification on Tuesday.

    The car manufacturing company declared Rs682 million profit after tax for the year ended March 31, 2020 as compared with Rs3.85 billion in the preceding year.

    The sales of the company fell by 42 percent to Rs55 billion for the year ended March 31, 2020 as compared with Rs95.13 billion in the preceding year.

    The administrative expenses were flat at Rs738.75 million for the year. Operating expenses were also reduced to Rs1.045 billion for the year under review.

    The company declared Rs4.77 as earning per share for the year ended March 31, 2020 as against Rs26.97 EPS declared in the preceding year.

  • Car manufacturers resume operation as lockdown eases

    Car manufacturers resume operation as lockdown eases

    KARACHI: Automobile industry has resumed manufacturing and administrative operations after the government eased lockdown.

    Honda Atlas and Indus Motors on Tuesday informed Pakistan Stock Exchange (PSX) about resumption of their manufacturing operations.

    The Indus Motors Company in its letter said:

    “With reference to our earlier disclosure of material information dated 27 March 2020, relating to the temporary suspension of plant operations of the Company due to outbreak of the COVID-19 in the country.

    “The management of the Company according to relaxation/approval given by the Sindh Government has decided to resume plant operations and its offices with adequate measures aimed at preventing the pandemic’s spread.”

    Similarly, Honda Atlas Cars (Pakistan) Limited in its letter said:

    “In view of the relaxation allowed to automobile Industry from the current situation of lockdown due to COVID-19, by the Authorities, Honda Atlas Cars (Pakistan) Limited has resumed its operations from May 19, 2020 with all precautionary measures aimed at preventing pandemics spread.”

  • Car sales decline by 45% in seven months

    Car sales decline by 45% in seven months

    KARACHI – The car sales in Pakistan witnessed a significant decline during the first seven months (July–January) of the fiscal year 2019–2020, as total sales of locally assembled vehicles fell by 45 percent.

    (more…)