Honda records 20 pct profit rise despite recalls

Japanese automaker Honda reported Friday a 20 percent jump in fiscal first quarter profit on the back of a cheap yen that offset the damage from a massive air bag recall. Honda Motor Co.'s April-June net profit totaled 186 billion yen ($1.5 billion), up from 155.6 billion yen the same period the previous year. Quarterly sales gained nearly 16 percent to 3.7 trillion yen ($29.9 billion). The Tokyo-based maker of the Accord sedan and Odyssey minivan has been the hardest hit among automakers from the costs related to a global recall of Takata Corp.'s air bags that can explode. Takata has recalled almost 34 million air bag inflators in the United States. Globally, the recalls number more than 57 million, although some of the vehicles are being recalled more than once. Honda estimates its recalls related to Takata air bags worldwide at 24.5 million. It expects to sell 4.7 million vehicles around the world for the fiscal year, up from nearly 4.4 million vehicles for the previous fiscal year, which ended March 2015.