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Honda profit declines on semiconductor crunch and raw material costs

TOKYO — HondaÂ’s fiscal first quarter profit fell 33% from last year as a global computer chip shortage, a pandemic-related lockdown in China and the rising costs of raw materials hurt the Japanese automaker. Tokyo-based Honda Motor Co. reported Wednesday that its profit totaled 149.2 billion yen ($1.1 billion) in the April-June quarter, down from 222.5 billion yen ($1.7 billion) a year earlier. Quarterly sales slipped 7% to 3.8 trillion yen ($28 billion). Honda kept its profit forecast for the full fiscal year through March 2023 unchanged at 710 billion yen ($5.3 billion). The semiconductor shortage has hurt all the worldÂ’s automakers, including Honda, despite strong demand, and the manufacturers have been scrambling to secure alternative suppliers. Honda, which makes the Accord sedan, Odyssey minivan and Civic compact, sold about 815,000 vehicles last quarter, down from 998,000 vehicles the same period a year earlier. Auto sales dropped in almost all regions around the world, including Japan, the U.S. and Europe. “I ask for the understanding from all those who are still waiting for their vehicles and vow that our whole company is doing its utmost to make the deliveries even a day sooner,” Chief Financial Officer Kohei Takeuchi said. Takeuchi said the semiconductor shortage curtailed motorcycle production as well as car production, adding to uncertainty about future prospects. Honda said the recent lockdown in Shanghai was among the causes of the shortage in computer chips supply but declined to give specifics. Although U.S. sales are potentially facing a dent from recession worries and other economic hardships, Takeuchi acknowledged he was more worried about the shortage problem and producing the cars customers were waiting for. Takeuchi noted that motorcycle sales for the quarter, which grew to 4.25 million motorcycles from 3.88 million a year earlier, were going strong, especially in India. The cheaper yen and cost cuts helped maintain profitability overall, he added. The yen has been at a two-decade low against the U.S. dollar. A cheap yen has historically worked as a boon for exporters like Honda by boosting the value of their overseas earnings when converted into yen. But it also increases costs for imported components and materials. JapanÂ’s top automaker Toyota Motor Corp. reported recently that its fiscal first quarter profit fell nearly 18%. Nissan Motor Co. saw its quarterly profit plunge to less than half of what it was a year earlier.

2019 Acura RDX crossover gets turbocharged power, A-Spec version

NEW YORK — Calling the RDX that Acura showed at this year's Detroit Auto Show a "concept" was stretching that term to the limits of credulity. The production version of the 2019 RDX is here, and this turbocharged crossover with available AWD looks darn near identical. While it offers all-wheel drive like its Lexus NX and Audi Q3 competitors, Acura's next-generation SH-AWD should be a serious selling point. Let's cover that "Super Handling All-Wheel Drive" system for a moment. It takes power from the 2.0-liter, 272 horsepower and 280 pound-feet of torque engine and routes it up to 70 percent rearward, and there's real torque vectoring (rather than brake-based faux vectoring) to shift 100 percent of that rear axle power to either wheel. The broad strokes are similar to the outgoing model's system, but there's much more available rear power bias — in the 2016 model, up to 40 percent could be sent to the rear. And that was up from 25 percent for pre-2016 models. The takeaway is that the RDX should handle a lot better on both dry and slippery pavement, and feel a bit sportier doing it. A new engine may help as well. The outgoing 3.5-liter V6 is replaced by a turbocharged four-cylinder, almost certainly related to the unit in the Accord and Civic Type R, and tuned somewhere in between those cars (252 and 306 horsepower, respectively). We expect the new engine to be lighter than the old V6, and less weight off the front end should improve steering feel and handling. For those keeping track, the new engine is down 7 horsepower but up 28 pound-feet in torque, and thanks to turbocharging the torque band starts down low and is relatively flat, so more oomph from a stop and on through the rev range. The six-speed automatic is gone, replaced by a 10-speed automatic. Most of its competitors use six- or eight-speed units, so that'll be a marketing focus. As you'd expect, the individual ratios are closer-spaced but the total ratio spread is, according to Acura, 62 percent wider than the outgoing automatic. There are steering-wheel-mounted paddles if you'd like to shift yourself. Since the styling is very much a lightly retouched Prototype RDX from the Detroit show, it's nice to be able to give a sense of the new car's proportions with hard numbers. First of all, it's riding on a 2.6-inch longer wheelbase. Overall length is 187 inches, up from 184.4, and width is unspecified.

Acura RLX Sport Hybrid SH-AWD set for LA debut

Acura has announced that it will be showing the production version of the RLX Sport Hybrid SH-AWD at the 2013 Los Angeles Auto Show. You'll recall that the standard 3.5-liter V6-powered RLX has been on sale for some time, and that our review of Acura's flagship sedan was mixed. On paper, at least, the RLX Sport Hybrid SH-AWD should fare better.
Sporting a similar hybrid powertrain to the one expected to motivate the NSX supercar, the RLX uses a 3.5-liter V6 paired with a seven-speed dual-clutch transmission and a trio of electric motors to generate 377 horsepower, net a combined fuel economy of 30 miles per gallon and offer the security and performance of torque-vectoring all-wheel drive.
The RLX will hit the LA stand on November 20. Scroll down for the full press release from Acura.