Honda Motor Co LTD key statistics and ratios

In fiscal 2026, Honda Motor Co LTD had return on equity of -3.6%, an operating margin of -1.9%, debt equal to 114.1% of equity and a current ratio of 1.28. Each ratio below is calculated from the figures on its income statement, balance sheet and cash flow pages.

Financial ratios

US$ thousands unless shown otherwise. Fiscal years, plus the last twelve months (LTM) when newer.

Honda Motor Co LTD: financial ratios, annual
Fiscal year	2009Mar 2009	2010Mar 2010	2011Mar 2011	2012Mar 2012	2013Mar 2013	2014Mar 2014	2016Mar 2016	2017Mar 2017	2018Mar 2018	2019Mar 2019	2020Mar 2020	2021Mar 2021	2022Mar 2022	2023Mar 2023	2024Mar 2024	2025Mar 2025	2026Mar 2026
Gross margin	25.9%	25.2%	27.3%	25.5%	25.6%	26.0%	22.4%	22.4%	21.9%	20.8%	20.6%	20.7%	20.5%	19.7%	21.6%	21.5%	16.5%
Operating margin	1.9%	4.2%	6.4%	2.9%	5.5%	6.3%	3.4%	6.0%	5.4%	4.6%	4.2%	5.0%	6.0%	4.6%	6.8%	5.6%	−1.9%
Net margin	1.4%	3.1%	6.0%	2.7%	3.7%	4.8%	2.4%	4.4%	6.9%	3.8%	3.1%	5.0%	4.9%	3.9%	5.4%	3.9%	−1.9%
Free-cash-flow margin	−2.5%	13.4%	8.7%	4.6%	1.8%	3.8%	5.2%	2.8%	3.7%	2.2%	4.1%	5.7%	9.7%	9.8%	2.0%	−1.0%	2.4%
Return on equity	—	—	—	—	—	—	4.6%	8.9%	13.6%	7.4%	5.6%	7.9%	7.5%	5.7%	9.1%	6.6%	−3.6%
Return on assets	—	—	—	—	—	—	1.8%	3.4%	5.4%	3.0%	2.2%	3.2%	3.2%	2.5%	4.0%	2.7%	−1.4%
Asset turnover	—	—	—	—	—	—	0.75	0.78	0.79	0.78	0.73	0.64	0.66	0.65	0.74	0.71	0.70
Current ratio	—	—	—	—	—	—	—	1.21	1.23	1.23	1.26	1.33	1.47	1.44	1.43	1.36	1.28
Debt to equity	—	—	—	—	—	—	0.0%	93.3%	85.7%	88.7%	93.2%	85.0%	77.4%	68.5%	80.0%	92.9%	114.1%
Interest cover (operating income ÷ interest)	—	—	—	—	—	—	27.7x	67.4x	64.3x	55.0x	25.7x	47.6x	51.7x	21.6x	23.2x	22.1x	n/m
Effective tax rate	—	—	—	—	—	—	36.1%	32.5%	−1.2%	30.9%	35.4%	23.9%	28.9%	18.4%	28.0%	31.5%	—
R&D as % of revenue	—	—	—	—	—	—	4.5%	4.9%	4.9%	5.1%	5.4%	5.6%	5.4%	5.2%	4.5%	5.1%	7.1%
Capital spending as % of revenue	6.3%	4.6%	3.6%	5.0%	6.3%	6.5%	4.4%	3.5%	2.7%	2.6%	2.5%	2.4%	1.8%	2.8%	1.7%	2.4%	2.8%
Free cash flow ÷ net income	−183.6%	429.3%	145.7%	172.3%	47.4%	79.3%	219.4%	63.4%	54.0%	58.2%	133.7%	114.7%	199.6%	253.9%	36.0%	−26.2%	—
Dividends ÷ net income	102.0%	23.0%	17.3%	51.1%	35.3%	24.8%	—	—	—	—	—	—	—	—	—	—	—
Dividends and buybacks ÷ free cash flow	—	5.4%	11.8%	29.7%	74.6%	31.3%	0.0%	0.0%	15.2%	18.2%	15.8%	—	—	—	—	—	—

Returns use average equity or assets over the year. Return on equity is left blank when equity is negative or so small that the ratio says nothing (above ±200%); interest cover is left blank above 200 times. Price-based ratios such as P/E are on the valuation page.

Financial health

2 of 7 checks passed · March 31, 2026

What it owns · $210.6bn

Short-term assets $82.2bnLonger-term assets $128.5bn

What it owes, and who funded it · $208.6bn

Short-term liabilities $64.1bnLonger-term liabilities $70.1bnShareholders' equity $74.3bn

Short-term assets cover short-term liabilities $82.2bn of assets due within a year against $64.1bn of liabilities due within a year.
Short-term assets cover long-term liabilities $82.2bn short-term assets against $70.1bn of longer-dated liabilities.
More cash than debt $31.9bn of cash against $84.7bn of debt.
Debt below 40% of shareholders' equity Debt is 114% of equity.
Debt burden no higher than five years ago Debt to equity moved from 52% to 114% over five years.
A year's operating cash flow covers at least 20% of debt $7.5bn of operating cash flow against $84.7bn of debt.
Operating profit covers interest at least five times over Operating income of −$2.8bn against $555m of interest.

From Honda Motor Co LTD's latest balance sheet as filed. Checks are fixed, documented rules (methodology), counted only where the company reports the figures — a dot means the filing doesn't break the item out. Descriptions of reported data, not advice.

Moat

Not assessed: fewer than five years of comparable figures in the filings. AI disruption exposure for this industry: Medium.

A rules-based reading of reported figures, not a forecast and not investment advice. How the score is built: methodology.

Compare with peers

Head to head: HMC vs STLA GM vs HMC F vs HMC HMC vs TSLA

More: Automobile Manufacturers stocks compared, Consumer Discretionary sector, rankings of US companies

Figures from Honda Motor Co LTD's SEC filings (10-K and 10-Q), retrieved November 1, 2026. How we read and check them: methodology and data sources. Not investment advice. Back to Honda Motor Co LTD.