Honda Motor Co. almost tripled its full-year profit forecast after stimulus measures in the company's largest markets boosted demand for fuel-efficient vehicles.

The carmaker said Tuesday it expects net income of ¥155 billion in the year ending in March, compared with an earlier forecast of ¥55 billion. Second-quarter profit totaled ¥54 billion, beating the ¥45 billion median of four analyst estimates.

Honda raised its full-year forecast for global vehicle sales 3.2 percent to 3.4 million as governments spur demand by offering car buyers rebates and tax cuts. The carmaker increased second-quarter sales in Japan and China, helping offset declines in Europe and the United States.

Honda, Toyota Motor Corp. and Nissan Motor Co. have raised sales outlooks in markets including Japan and China as governments offer rebates and tax cuts for new, fuel-efficient cars to revive flagging demand. Honda's sales may rise next year in North America, traditionally its most profitable market, Chief Executive Officer Takanobu Ito said last week.

"Honda's hybrid models have been selling well with the incentives," said Yuki Sakurai, chief executive officer of Fukoku Capital Management Inc. "Whether or not real demand is picking up is still uncertain."

Government incentives helped Honda boost sales in Japan by 15 percent in September, while sales in China jumped 27 percent. China's overall passenger vehicle sales surged 84 percent for the month, passing 1 million for the first time.