Honda’s Raised Profit Outlook Falls Short of Estimates

Honda Motor Co. raised its full-year forecast for operating profit by 20% to ¥1.2 trillion ($7.9 billion), but the figure fell short of analysts’ average projection, as the Japanese carmaker struggles for sales in China and higher costs offset the benefits of a weaker yen.

Analysts were predicting profit of ¥1.28 trillion, based on estimates compiled by Bloomberg, for the year ending March. Honda also announced higher dividends but didn’t announce a buyback, as some investors had been anticipating.