This paper analyzes the axial flux and the corresponding eddy currents inside the laminated cores of a large-sized squirrel-cage induction motor running under the steady-state operation in order for possible optimum design of large-sized induction motors used in industry. The analysis was based on a complete 3-D numerical model. In the model, the laminated cores were replaced by anisotropic solid bodies, and the eddy currents inside the end portion of the stator frame were modeled with the standard impedance boundary condition. A time-harmonic finite-element analysis based on the magnetic vector potential-electric scalar potential formulation was performed. According to the results, under steady-state no-load, the axial flux, caused mainly by the air-gap fringing flux and the end-winding leakage flux, appears in the end portion of the cores, and decays rapidly toward the middle of the cores. The corresponding planar eddy currents inside the laminations of the stator core are mainly concentrated near the edges of the stator teeth. The eddy-current loss is small, but the distribution of the loss over the laminations is definitely non-uniform.