Mazda has reported its first-half 2026 financial results, showing a return to profitability even as sales declined in the United States. The automaker posted a profit for the April-to-June period after recovering losses tied to last year’s U.S. tariffs, while weaker demand for key SUV models weighed on its performance in one of its largest markets.

Mazda Posts Profit in First Fiscal Quarter

The automotive industry has experienced significant shifts this year as political and economic factors have influenced consumer demand and purchasing behavior. First-half sales and earnings across the sector have produced mixed results, with some brands improving financially while others have seen declines in sales.

According to Mazda’s fiscal first-quarter report, cited by Automotive News, the Japanese automaker returned to profitability during the April-to-June 2026 period. The company reported net earnings of $202.6 million, reversing losses associated with last year’s U.S. tariffs.

U.S. Sales Decline Hits Key SUV Models

Despite the improvement in profitability, Mazda’s U.S. business recorded a significant decline in sales. The company’s American lineup is centered on larger utility vehicles, a segment affected by import tariffs and the repeal of incentives that had previously supported plug-in hybrid powertrains.

As a result, sales of the Japan-built CX-90 declined 24%, while sales of the CX-70 fell 29% during the reporting period.

Mazda Plans Product Enhancements

Chief Financial Officer Jeffrey Guyton described the current situation as unacceptable and said the company remains focused on expanding its large-platform business.

Guyton also said Mazda plans to strengthen its safety campaign as part of its efforts to improve sales performance. The automaker has recently earned multiple safety recognitions from the Insurance Institute for Highway Safety (IIHS).

In addition, Guyton said Mazda is developing “a number of product enhancements” intended to help increase sales. He did not provide details about the planned upgrades or a timeline for their introduction.

CX-5 Remains Mazda’s U.S. Sales Leader

The newly redesigned CX-5 continues to be Mazda’s best-selling vehicle in the United States. The model also recently received the top safety recognition from the IIHS.

Mazda’s latest financial results reflect a mixed performance, combining a return to profitability with softer U.S. sales as the company prepares product updates and continues its focus on safety and its large-platform vehicle lineup.