Suzuki Motor Corp. reported record profits for the fiscal year ended March 2025 but warned of a significant earnings drop ahead as currency fluctuations threaten to erode its financial performance.
The Japanese automaker posted operating profit of ¥642.9 billion ($4.2 billion), a 30.2% increase from the previous year, while revenue climbed 8.7% to ¥5.83 trillion ($38.1 billion). Both figures represent all-time highs for the company.
The strong results were driven by favorable foreign exchange rates, increased sales volumes, and improved earnings per unit, according to Suzuki’s financial statements. Global automobile sales rose 2.3% to 3.24 million units, while motorcycle sales jumped 7.9% to 2.06 million units.
Despite the robust performance, Suzuki projected a 22.2% decline in operating profit to ¥500 billion ($3.3 billion) for the fiscal year ending March 2026, citing the strengthening yen’s negative impact on overseas earnings. The Japanese currency’s appreciation could reduce operating profit by approximately ¥80 billion.
Suzuki plans to continue investing for growth, allocating ¥380 billion for capital expenditures and ¥300 billion for R&D in FY2025. The company will raise its annual dividend to ¥45 per share, up 9.8% from FY2024, as part of its progressive dividend policy targeting a 3.0% dividend on equity ratio.
The automaker’s Indian operations remain a bright spot, with exports from India exceeding 300,000 units for the first time.
