Honda bounces back from last year's earthquake

July 31, 2012 12:00 AM

The Japanese earthquake and subsequent tsunami of 2011 left profits for Honda in the basement as the company struggled to recover from the disaster. With Honda's recent release of its second quarter fiscal report, its possible to see just how far the company has come in a year.

According to the automaker, profits quadrupled in the second quarter of 2012 compared to last year, with the automaker bringing in $1.7 billion during the second quarter of 2012. Total sales for the company were also about four times higher, at $31.2 billion, reports USA Today.

The automaker has not raised its profit forecast for 2012, which is currently about $6 billion. If Honda meets that goal, it would be more than double what it made in 2011, when the earthquake caused major problems for nearly half the year.

Perhaps most impressive is that the company has rebounded in such fashion despite the strong performance of the Japanese yen. Due to the fact that many Japanese automakers' sales are overseas, converting the currency into yen has caused profits to fall in recent years due to the currency's high value.

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