Honda Motor : FY2022 3rd Quarter Financial Results Reference Materials

February 9, 2022

Honda Motor Co., Ltd.

CONSOLIDATED FINANCIAL SUMMARY 1

FOR THE FISCAL THIRD QUARTER AND THE FISCAL NINE MONTHS ENDED DECEMBER 31, 2021

Sales revenue Breakdown by geographical markets based on the location of the external customers

Yen (millions)		Third Quarter Results			Nine Months Results
		3 months		3 months			9 months	9 months
		ended		ended			ended	ended
		Dec. 31, 2020		Dec. 31, 2021	change	%	Dec. 31, 2020	Dec. 31, 2021	change	%
Total	3,771,569		3,688,785	(82,784)	(2.2)	9,546,713	10,677,013	1,130,300	11.8
	Japan	466,019		494,287	28,268	6.1	1,320,731	1,406,188	85,457	6.5
	North America	2,070,305		1,851,274	(219,031)	(10.6)	5,202,260	5,686,209	483,949	9.3
	Europe	115,677		123,408	7,731	6.7	354,739	447,663	92,924	26.2
	Asia	973,646		1,041,785	68,139	7.0	2,323,868	2,641,289	317,421	13.7
	Other Regions	145,922		178,031	32,109	22.0	345,115	495,664	150,549	43.6
Motorcycle Business	490,857		578,366	87,509	17.8	1,258,173	1,602,096	343,923	27.3
	Japan	19,699		24,898	5,199	26.4	63,671	78,717	15,046	23.6
	North America	48,630		62,516	13,886	28.6	143,766	176,861	33,095	23.0
	Europe	22,542		36,689	14,147	62.8	93,642	149,675	56,033	59.8
	Asia	335,460		364,985	29,525	8.8	804,230	944,365	140,135	17.4
	Other Regions	64,526		89,278	24,752	38.4	152,864	252,478	99,614	65.2
Automobile Business	2,585,190		2,333,388	(251,802)	(9.7)	6,207,728	6,668,657	460,929	7.4
	Japan	334,629		342,608	7,979	2.4	936,192	965,525	29,333	3.1
	North America	1,479,178		1,193,484	(285,694)	(19.3)	3,416,680	3,615,296	198,616	5.8
	Europe	76,339		66,697	(9,642)	(12.6)	213,219	238,059	24,840	11.6
	Asia	622,770		653,152	30,382	4.9	1,474,491	1,637,670	163,179	11.1
	Other Regions	72,274		77,447	5,173	7.2	167,146	212,107	44,961	26.9
Financial Services Business	614,549		671,777	57,228	9.3	1,853,641	2,114,335	260,694	14.1
	Japan	94,181		104,265	10,084	10.7	278,955	305,001	26,046	9.3
	North America	510,333		556,664	46,331	9.1	1,543,304	1,776,370	233,066	15.1
	Europe	2,774		2,477	(297)	(10.7)	8,154	7,941	(213)	(2.6)
	Asia	2,990		3,837	847	28.3	10,202	11,751	1,549	15.2
	Other Regions	4,271		4,534	263	6.2	13,026	13,272	246	1.9
Life Creation and	80,973		105,254	24,281	30.0	227,171	291,925	64,754	28.5
Other Businesses
	Japan	17,510		22,516	5,006	28.6	41,913	56,945	15,032	35.9
	North America	32,164		38,610	6,446	20.0	98,510	117,682	19,172	19.5
	Europe	14,022		17,545	3,523	25.1	39,724	51,988	12,264	30.9
	Asia	12,426		19,811	7,385	59.4	34,945	47,503	12,558	35.9
	Other Regions	4,851		6,772	1,921	39.6	12,079	17,807	5,728	47.4

Note:

For detailed information of principal products and services, and functions of each segment, please refer to [6] Notes to Consolidated Financial Statements, [A] Segment Information in Fiscal Third Quarter Financial Results.

February 9, 2022

Honda Motor Co., Ltd.

CONSOLIDATED FINANCIAL SUMMARY 2

FOR THE FISCAL NINE MONTHS ENDED DECEMBER 31, 2021

Unaudited Consolidated Statements of Financial Position

Divided into Non-financial Services Businesses and Finance Subsidiaries

				Yen (millions)
				Mar. 31, 2021		Dec. 31, 2021
Assets
	< Non-financial Services Businesses >
		Current assets:	5,506,377		5,656,653
			Cash and cash equivalents	2,528,369		2,416,898
			Trade receivables	804,496		724,307
			Inventories	1,539,248		1,796,349
			Other current assets	634,264		719,099
		Non-current assets:	6,023,053		6,119,452
			Investments accounted for using the equity method	891,002		902,008
			Property, plant and equipment	3,007,119		2,958,166
			Intangible assets	807,847		812,326
			Other non-current assets	1,317,085		1,446,952
		Total assets	11,529,430		11,776,105
	< Finance Subsidiaries >
		Cash and cash equivalents	229,651		273,553
		Receivables from financial services, current	1,795,708		1,613,798
		Receivables from financial services, non-current	3,619,896		3,674,233
		Equipment on operating leases	4,919,916		5,075,682
		Other assets	267,474		277,674
		Total assets	10,832,645		10,914,940
	Reconciling items	(441,045)		(441,266)
Total assets	21,921,030		22,249,779
Liabilities and Equity
	< Non-financial Services Businesses >
		Current liabilities:	2,780,197		2,529,686
			Trade payables	1,075,477		1,011,691
			Financing liabilities	329,342		356,007
			Other current liabilities	1,375,378		1,161,988
		Non-current liabilities:	1,450,048		1,491,901
			Financing liabilities	150,665		148,951
			Retirement benefit liabilities	349,994		353,429
			Other non-current liabilities	949,389		989,521
		Total liabilities	4,230,245		4,021,587
	< Finance Subsidiaries >
		Financing liabilities, current	2,683,526		2,753,031
		Financing liabilities, non-current	4,564,696		4,337,309
		Other liabilities	1,233,621		1,257,631
		Total liabilities	8,481,843		8,347,971
	Reconciling items	(163,897)		(156,096)
	Total liabilities	12,548,191		12,213,462
	Equity attributable to owners of the parent	9,082,306		9,770,862
	Non-controlling interests	290,533		265,455
	Total equity	9,372,839		10,036,317
Total liabilities and equity	21,921,030		22,249,779

February 9, 2022

Honda Motor Co., Ltd.

CONSOLIDATED FINANCIAL SUMMARY 3

FOR THE FISCAL NINE MONTHS ENDED DECEMBER 31, 2021

Unaudited Consolidated Statements of Cash Flows

Divided into Non-financial Services Businesses and Finance Subsidiaries

				Yen (millions)
	For the nine months ended Dec. 31, 2020	For the nine months ended Dec. 31, 2021
	Non-financial	Finance	Reconciling		Non-financial	Finance	Reconciling
	Services	Consolidated	Services	Consolidated
	Businesses	Subsidiaries	Items		Businesses	Subsidiaries	Items
Cash flows from operating activities:
Profit before income taxes	412,739	261,094	(15,126)	658,707	631,160	272,723	(58,645)	845,238
Depreciation, amortization and impairment losses	441,505	3,040	－	444,545	454,563	3,426	－	457,989
excluding equipment on operating leases
Share of profit of investments accounted for	(204,570)	－	－	(204,570)	(157,034)	－	－	(157,034)
using the equity method
Decrease (increase) in trade receivables	(1,233)	(1,590)	9,750	6,927	97,882	18,767	(15,945)	100,704
Decrease (increase) in inventories	82,326	5,741	－	88,067	(204,148)	3,344	－	(200,804)
Increase (decrease) in trade payables	80,026	(892)	(206)	78,928	(65,178)	4,749	1,549	(58,880)
Decrease (increase) in receivables from financial services	－	(11,186)	(367)	(11,553)	－	321,799	(466)	321,333
Decrease (increase) in equipment on operating leases	－	(118,989)	－	(118,989)	－	620	－	620
Dividends received	134,761	7	(15,126)	119,642	168,691	3	(58,645)	110,049
Other, net	(184,023)	(57,296)	5,807	(235,512)	(362,847)	(181,641)	73,077	(471,411)
Net cash provided by (used in) operating activities	761,531	79,929	(15,268)	826,192	563,089	443,790	(59,075)	947,804
Cash flows from investing activities:
Payments for additions to property, plant and equipment	(227,204)	53	－	(227,151)	(198,372)	(390)	－	(198,762)
Payments for additions to and internally developed	(162,736)	(3,094)	－	(165,830)	(125,026)	(1,549)	－	(126,575)
intangible assets
* Decrease (increase) in other financial assets	(173,813)	13,976	(17,397)	(177,234)	(77,340)	6,185	(1,344)	(72,499)
Other, net	(93,765)	304	－	(93,461)	15,984	73	－	16,057
Net cash provided by (used in) investing activities	(657,518)	11,239	(17,397)	(663,676)	(384,754)	4,319	(1,344)	(381,779)
Cash flows from financing activities:
* Proceeds from (repayments of) short-term	193,208	787	17,507	211,502	17,430	(261,856)	1,774	(242,652)
financing liabilities
* Proceeds from long-term financing liabilities	2,805	1,353,814	－	1,356,619	678	1,229,126	－	1,229,804
* Repayments of long-term financing liabilities	(30,228)	(1,274,080)	32	(1,304,276)	(4,696)	(1,323,750)	－	(1,328,446)
Dividends paid to owners of the parent	(100,181)	－	－	(100,181)	(188,402)	－	－	(188,402)
Other, net	(80,794)	(16,485)	15,126	(82,153)	(161,776)	(59,311)	58,645	(162,442)
Net cash provided by (used in) financing activities	(15,190)	64,036	32,665	81,511	(336,766)	(415,791)	60,419	(692,138)
Effect of exchange rate changes on cash and	(30,267)	(12,824)	－	(43,091)	46,960	11,584	－	58,544
cash equivalents
Net change in cash and cash equivalents	58,556	142,380	－	200,936	(111,471)	43,902	－	(67,569)
Cash and cash equivalents at beginning of period	2,462,679	209,674	－	2,672,353	2,528,369	229,651	－	2,758,020
Cash and cash equivalents at end of period	2,521,235	352,054	－	2,873,289	2,416,898	273,553	－	2,690,451

Note:

Non-financial services businesses provide loans to finance subsidiaries. These cash flows are included in the decrease (increase) in other financial assets, proceeds from (repayments of) short-term financing liabilities, proceeds from and repayments of long-term financing liabilities (marked by *). The amount of the loans to finance subsidiaries is a JPY 17,397 million decrease for the fiscal nine months ended December 31, 2020, and a JPY 1,344 million decrease for the fiscal nine months ended December 31, 2021.