Honda has downgraded its profit forecasts by a fifth after anti-Japanese protests in China affected sales in the country, the carmaker's second-largest market.
Sales in China dropped by 40% as Chinese consumers shunned Japanese products following a row between the two countries over disputed islands.
Despite the downgrade, Honda managed to post a net income of 82.2bn yen (£643m), an increase of 36.1% compared to the same period last year.
The company attributed the increase to growth in automobile sales by almost 250,000 units, compared to the same period in 2011, mainly due to strong sales of new models in the US and Japan, alongside an increase in motorcycle sales by over 385,000 units, mainly due to strong sales in India.
