Honda Atlas’ Profit Increased By Remarkable 300%

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The automotive industry in Pakistan is struggling with fluctuating sales, improving one month, only to bring disappointing numbers the immediate next and this trend is persistent for quite some time. However, discussing the profit charts of local carmakers, we often observe impressive performance.

This time, the update is from Honda Atlas Cars Pakistan. The company has earned a massive profit in the third quarter of MY25 – a remarkable Rs. 566 million.

Honda’s Profit Update

This figure represents a year-on-year (YoY) increase of 2.95 times and a quarter-on-quarter (QoQ) rise of 2.2 times. The strong results have exceeded market expectations, solidifying Honda’s position in a challenging automotive landscape.

Honda Atlas

For the nine-month period ending Market Year 2025 (MY25), Honda recorded a cumulative profit of Rs. 1.03 billion, reflecting a 7 percent YoY growth from Rs. 964 million during the same period last year. The standout feature of this quarter was the gross margin, which surged to 9.2 percent, outperforming last year’s 8.3 percent and the previous quarter’s 7.4 percent.

Several factors contributed to this growth. Net sales climbed by 44 percent YoY to Rs. 17.8 billion, driven by increased unit sales, which rose to 3,736 vehicles compared to 2,374 in the same quarter last year. Cost efficiency also played a role, with distribution expenses falling by 20 percent YoY and other operating expenses plummeting by 72 percent YoY due to lower inflationary pressures.

However, the quarter wasn’t without challenges. Administrative expenses grew by 15 percent YoY, and other income declined by 34 percent YoY, although it rebounded 2.24 times QoQ. The effective tax rate also increased to 43 percent, up from 37 percent last year.

With an EPS of Rs. 3.97 for Q3 and Rs. 7.19 for 9M, Honda’s growth momentum remains strong, positioning it for future success in a competitive market.

Coming to the sales of Honda Atlas, the company had no effect last month, selling 1,110 units compared to 1,112 units in November 2024, selling 970 units of City and Civic, and 140 units of BR-V and HR-V.

What are thoughts about Honda’s profit report, the company earned last month. Tell us in the comments section.

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