Suzuki Motor Corporation reported consolidated revenue of ¥3,419.2 billion for the first half of FY2026 (April–September 2026), a year-on-year increase of ¥555.0 billion or 19.4%, driven primarily by strong volume growth in India and higher overseas sales. Operating profit rose 5.5% to ¥291.6 billion, though the operating margin contracted to 8.5% from 9.7% in the same period last year. Profit before tax climbed 20.8% to ¥401.4 billion, while profit attributable to owners of the parent surged 31.6% to ¥253.7 billion, reflecting a margin of 7.4% against 6.7% in H1 FY2025.
The second quarter (July–September 2026) presented a more mixed picture. Revenue for the quarter grew 16.8% year-on-year to ¥1,713.5 billion, but operating profit slipped marginally by 0.6% to ¥133.6 billion, compressing the operating margin to 7.8% from 9.2% a year earlier. Profit before tax fell 24.5% to ¥118.2 billion and profit attributable to owners of the parent declined 22.8% to ¥70.1 billion in Q2, indicating that cost and currency headwinds intensified in the latter part of the half-year period.
External factors weighed significantly on operating profit performance. Foreign exchange rate movements contributed a positive ¥52.0 billion effect on a half-year basis, but this was more than offset by a ¥151.0 billion adverse impact from changes in the price of raw materials, resulting in a net external drag of ¥98.9 billion. Factors within management's control partially compensated for this, with volume growth contributing ¥70.5 billion, changes in mix and pricing adding ¥69.9 billion, and cost reduction measures delivering ¥23.8 billion. These were partially offset by higher fixed costs of ¥36.6 billion and increased depreciation expenses of ¥15.3 billion, yielding a net positive contribution of ¥114.1 billion from internal factors.
Currency movements were a notable feature of the period. The Japanese yen strengthened against major currencies, with the USD average rising to ¥159 from ¥146 in H1 FY2025, the EUR to ¥184 from ¥168, while the Indian rupee weakened slightly against the yen to ¥1.69 from ¥1.70. These shifts had a combined positive effect of ¥52.0 billion on operating profit for the half-year.
India remained the dominant growth engine for Suzuki's global automobile business. Wholesale automobile sales in India rose 35.4% year-on-year to 1,100 thousand units in H1 FY2026, against 812 thousand units in the same period of the previous year. In the second quarter alone, Indian automobile sales jumped 37.8% to 565 thousand units. Production in India also expanded sharply, rising 26.6% to 1,330 thousand units in H1 FY2026. For the full year FY2026, Suzuki has indicated an expected growth of approximately 20% in Indian automobile volumes. India accounted for ¥1,390.7 billion of consolidated automobile revenue in H1 FY2026, up 28.9% year-on-year, and represented the largest single country contribution within the Asia segment.
Consolidated automobile revenue for the first half totalled ¥3,089.6 billion, an increase of 19.4% over H1 FY2025, with overseas automobile revenue rising 24.7% to ¥2,609.9 billion. The Asia segment, which includes India, generated automobile revenue of ¥1,725.7 billion, up 26.7% year-on-year. Europe contributed ¥386.7 billion, an increase of 29.1%, while North America accounted for ¥55.0 billion, up 7.5%. Japan's domestic automobile revenue grew 4.8% to ¥809.3 billion.
Segment-wise, Suzuki's automobile division reported operating profit of ¥244.3 billion in H1 FY2026, up 3.0% from ¥237.3 billion, though the operating margin narrowed to 7.9% from 9.2%. The motorcycle segment delivered a stronger performance, with operating profit rising 25.8% to ¥28.3 billion on revenue of ¥255.9 billion, expanding the operating margin to 11.1% from 10.7%. The marine segment reported operating profit of ¥17.5 billion on revenue of ¥68.1 billion, with the operating margin improving to 25.7% from 24.7%.
Geographically, Japan posted operating profit of ¥156.9 billion on revenue of ¥1,696.0 billion, a year-on-year improvement of 25.7% in operating profit with a margin of 9.2%. Europe's operating profit fell sharply, declining 48.7% to ¥3.6 billion on revenue of ¥381.6 billion, compressing the margin to 0.9% from 2.1%. Asia reported operating profit of ¥111.0 billion on revenue of ¥2,076.7 billion, a decline of 18.7% year-on-year, with the margin narrowing to 5.3% from 8.3%. The Other region, covering Africa, Middle East, Latin America, and Oceania, recorded operating profit of ¥21.6 billion, more than doubling from ¥10.1 billion in the prior period, with the margin rising to 8.2% from 4.5%.
On a cash flow basis, operating activities generated ¥313.5 billion in H1 FY2026, compared to ¥265.3 billion in H1 FY2025. Investing activities consumed ¥96.7 billion, while financing activities utilised ¥81.2 billion. The consolidated cash balance stood at ¥1,098.7 billion as of end-September 2026, against ¥930.0 billion at the end of FY2025. Capital expenditure for the half year amounted to ¥215.1 billion, up from ¥170.0 billion, while research and development expenses were ¥130.0 billion, slightly lower than ¥131.6 billion in H1 FY2025. Depreciation expenses rose to ¥119.1 billion from ¥103.8 billion.
For the full year FY2026, Suzuki has forecast consolidated revenue of ¥6,900.0 billion, up 9.6% from ¥6,293.0 billion in FY2025, with domestic revenue broadly flat at ¥1,600.0 billion and overseas revenue projected to grow 12.9% to ¥5,300.0 billion. Full-year operating profit is forecast at ¥540.0 billion, a decline of 13.3% from the ¥622.9 billion recorded in FY2025, implying an operating margin of 7.8% against 9.9% in the prior year. Profit before tax is projected at ¥690.0 billion and profit attributable to owners of the parent at ¥420.0 billion. These forecasts reflect revised assumptions including a ¥270.0 billion headwind from raw material costs, partially offset by volume growth of ¥90.0 billion and cost reduction measures of ¥60.0 billion. The full-year forecast for the USD exchange rate assumption is ¥159 and EUR at ¥181.