Zigwheels Home

Honda, Toyota, Ford post cumulative loss Rs 770 cr

by ET Posted on 17 Jan 20135,146 Views1 Comments

Honda, Toyota, Ford posted a cumulative loss of Rs 770 cr in the 2012 fiscal year


Toyota Etios



Global carmakers who have been in India for over a decade now continue to have it rough. Three MNC auto majors racked up a collective loss of some Rs 770 crore in fiscal year 2012, as per the latest numbers filed with the Registrar of Companies (RoC). 


Honda Cars India leads the pack with a Rs 604 crore splash of red ink on its balance sheet, almost three times the loss of the previous year. 


Toyota slipped into the red with a loss of Rs 27 crore after notching up a healthy profit of Rs 222 crore in fiscal year 2011; and Ford India reported a 35% higher loss of Rs 140 crore as against 107 crore in the previous year. 


Fiat India, meantime, has extended fiscal year 2012 by six months to help it start with a clean slate with a six-month fiscal year from October 2012 to March 2013, after setting off accumulated losses of Rs 300 crore. 


For Ford and Honda, which entered India in the 90s with premium models before eventually entering the mass market a few years ago, the road to profits is turning out to be a long one, indeed. 


Company officials justify the losses saying they are still in investment mode, expanding capacities and setting up new factories. The journey into the black will involve new models in new segments to have a well-rounded portfolio, increasing localisation efforts to bring down costs and selling overseas. 


Post Your Comment

Do you like this story?

Honda to launch new compact sedan at 2014 Beijing Auto Show

by Cyrus Dhabhar

Honda is all set to launch two new concept cars...

Mercedes-Benz inaugurates its second new outlet in Madhya Pradesh

by Punam Chavan

The luxury carmaker Mercedes-Benz has opened up...

February 2014 two-wheeler sales figure

by Arun Mohan Nadar Photography: Eshan Shetty

We take a look at the monthly sales figures of...


Datsun Go: Special Coverage

With the Go the Datsun brand once again comes to life and is here to make its place in the...

Hyundai Xcent: Special Coverage

Hyundai has launched its compact sedan, the Xcent, at a smashing starting price of Rs 4.66 lakh...


Read Next Story