The Pretty Side Of Honda

There has been a lot of, well, criticism, of Honda on these pages lately, including allegations that Honda had lost it. So far, more that fifty of the Best & Brightest offered advice on how to save the company from certain annihilation.

Today’s Nikkei says “domo arigato gozaimashita” for all the support, and runs a different story: “Honda Motor Co. has emerged from the economic turmoil at the head of the pack, thanks in good part to a nimble production network that can meet the latest consumer preferences at relatively low cost.” Here is why.

According to the Nikkei, Honda retooled its U.S. production operations in a mere six months last year, responding to the sudden demand for smaller vehicles. As the chart shows, the realignment translated into a substantial share of the U.S. subcompact market.

It is also the reason for Honda being “the only major Japanese maker likely to score a net profit” in the current fiscal year, says the Nikkei.

Capacity utilization rates at some facilities have been boosted by as much as 20 percent. In the current fiscal year, which ends March, Honda will most likely report an overall utilization rate of 79 percent, highest among Japan’s three largest automakers. In the industry, anything above 80 percent utilization is considered healthy. Given the worldwide capacity utilization, estimated to be between 50 and 60 percent, 79 percent are short of a miracle.

Honda can make small and large vehicles on the same production lines. All it needs is a quick change of welding pieces, paint nozzles and other components.

Not only the Nikkei is impressed with Honda, the stock market likes Honda as well. At the time of this typing, Honda’s stock (HMC) changed hands for $36.90 at the New York Stock Exchange, eclipsing its pre-carmageddon highs.

Honda may have “ugly styling highlighted by uglier front grilles; a hybrid system that simply isn’t as advanced and effective as Toyota’s; a bloated Accord; no new direct injection engines; lots of muddling about future EVs; and a misplaced optimism about fuel cells,” as Edward Niedermeyer wrote it.

However, Honda’s stock chart, a market capitalization of $67.7b, and a near-pornographic P/E of 47.92 on the other hand are a sight to be seen. Maybe you shouldn’t have bought the Insight. But you would be very pleased if you would have had the foresight to buy the Honda stock in December of 2008. You could have doubled your money.

Or, looking at the chart and all that’s wrong with the company, maybe it’s time to short HMC?

Source;
http://www.thetruthaboutcars.com/the-pretty-side-of-honda/#more-342097

To put it mildly, sales of the Honda Accord Hybrid never quite set the world on fire. Regardless, Japan's second largest automaker is reportedly hard at work developing its proprietary Integrated Motor Assist hybrid platform so that it can once again be used to power larger vehicles like the Accord.

To make it all work out, Honda is adding an extra electric motor to the mix for a total of two, both of which will be more powerful than the single pancake motor used in the current Insight and Civic Hybrid. Also on the menu is a lithium ion battery pack to replace the current nickel metal hydride unit, with added capacity to allow for electric-only operation.

Word on the street (or at least the Nikkei daily newspaper in Japan) is that Honda might place this next-gen hybrid powertrain in a minivan sometime in 2011 or so. Before that, though, we can look forward to the launch of Honda's sporty CR-Z hybrid hatchback. It's important to have your priorities straight, right?

Source;
http://www.autoblog.com/2009/10/27/report-honda-plans-a-return-to-larger-hybrids/

Japan: Honda plans EV prototype, 2011 Honda Minivan Hybrid?!?

This is an older concept of the Honda ASM Hybrid Minivan, it was rumoured to come to North America a few years back, but obviously was put on the back burner, could this idea be coming back to life?
According to a report in the Wall Street Journal, Honda is poised to make a cautious foray into development of EVs and may display a prototype model at the forthcoming Tokyo auto show. If a production model follows, initial availability is expected to be limited to just the domestic Japanese market and perhaps one export market and region, e.g. in the US.
Despite this tentative step into the EV sector, where domestic rivals Nissan, Toyota and Mitsubishi already have clear strategies, it is believed Honda will continue to dedicate the majority of powertrain technology R&D towards further development of gasoline-electric hybrids. The OEM retains scepticism concerning the performance and safety of EVs and the available infrastructure for recharging.

In a separate report, and in keeping with Honda’s current strategy, the OEM’s president, Takanobu Ito is reported in the Nikkei as saying the company plans to release a hybrid minivan around 2011. The executive is quoted as saying: "First of all, it is important to expand our line-up; we want to introduce a hybrid model to minivans, which continue to enjoy strong customer demand."

Source;
http://www.automotiveworld.com/news/powertrain/78401-japan-honda-plans-ev-prototype

Honda to unveil electric car in US by 2015-Nikkei

Hmmm....Never say never.
TOKYO, Aug 22 (Reuters) - Honda Motor Co Ltd (7267.T) plans to develop an electric car to debut in the U.S. market by around 2015 as tighter environmental regulations push demand for zero-emission vehicles, the Nikkei newspaper said on Saturday.

A spokesperson for the company, Japan's No. 2 automaker, said it was developing an electric car but had not decided when to launch it.

The company could also not comment on the Nikkei business daily's report, without sources, that a prototype of the car would be unveiled at the Tokyo Motor Show in October.

The vehicle is expected to be around the size of a minicar, the Nikkei said.

Other automakers such as Toyota Motor Corp (7203.T) and Volkswagen AG (VOWG.DE) have also announced plans to launch electric cars in the next few years.

But they say it could take decades for the vehicles to spread due to their high cost, limited driving range and long charging times with the current battery technology.

Nissan Motor Co (7201.T), Japan's third biggest automaker, unveiled its electric car "Leaf" earlier this month with plans to begin selling it in the United States, Japan and Europe towards the end of 2010.

(Reporting by Chisa Fujioka and Yoshifumi Takemoto; Editing by Alex Richardson)

Source (via autoblog);
http://www.reuters.com/article/rbssAutoTruckManufacturers/idUST33069520090822

Here's Autoblogs take;

"Honda has repeatedly told the world it doesn't see battery electric vehicles as being viable anytime soon. Instead, the company has planned to retain its focus on hydrogen fuel cells.

However, the realities of hydrogen distribution (or lack thereof), may be pushing Honda to do something it doesn't necessarily want to.

Honda will reportedly unveil a prototype for a battery powered mini car at the Tokyo Motor Show in October, with a production version expected to hit the streets by 2015. Despite the company's preference for hydrogen fuel cells, a plug-in may be necessary in order to meet the numbers of zero emission vehicles mandated by new California standards in coming years.

The automaker could certainly leverage the work it has done on the electrically driven FCX Clarity in combination with lithium batteries from its joint venture with GS Yuasa."

Source;
http://www.autoblog.com/2009/08/24/report-honda-to-show-ev-prototype-in-tokyo-production-in-2015/