Honda Cars India posts profit of Rs 257 crore in FY18

Honda Cars India, the maker of City sedan, has posted a profit of Rs 257.3 crore for fiscal year 2018, led by higher sale of its sedans and the newly launched crossover SUV WRV. The company had bounced back to profit last fiscal year, after posting a loss of Rs 227.24 crore in FY17.

The higher capacity utilisation, greater localisation and good response to new models helped the company deliver a much stronger operational performance, said people familiar with the matter.

The revenues for the year grew marginally to Rs 14,300 crore, led by 8% volume growth in FY18, but company still has an accumulated loss of about Rs 1,400 crore on its books. The director’s report said the passenger vehicle sales grew by 7.89% in financial year 2017-18 over last year.