Toyota confident that Lexus brand will be profitable in Europe

Article by Christian A., on September 28, 2012

Toyota is confident that its Lexus brand will be profitable in Europe even with a difficult, highly competitive environment and a not so ideal yen/euro exchange rate. At the Paris Auto Show, Didier Leroy, the CEO of Toyota Motor Europe, said in an interview that Lexus could report profits within two to three years even if production stays in Japan.

Leroy declined to divulge specific loss figures of Lexus in Europe. In an interview with Automotive News Europe, a Lexus spokesman said that the brand's profits in Europe depend on its hybrid lineup, which makes up about 85% of its sales in western Europe and 60% of its sales in Russia.

Lexus is getting ready to launch a new hybrid model based on the Lexus LF-CC hybrid coupe concept it debuted at the show. Leroy added that its Lexus sales volumes in Europe were not currently high enough for the car to be produced locally in the region but he didn’t discount the possibility of future production in the region.

Leroy predicts that Lexus will be able to sell 46,000 units in Europe, including Russia, compared with 44,000 units sold in 2011. In its last fiscal year, Toyota Motors Europe (which includes Toyota and Lexus) was profitable due to its financial services division.

However, its automotive unit reported losses. Leroy is anticipating that Toyota Europe's automotive business and its financial services division in Europe would record profits for the fiscal year that ends on March 31, 2013.

Topics: toyota, europe, profit

If you liked the article, share on:

Comments

Recommended

There is no harm in admitting that both the conventional and the hybrid versions of the Lexus LC 500 are real stunners when it comes to its exterior styling. Even...
by - February 21, 2017
Jaguar is placing three new Ingenium engines on the F-Pace crossover, XF saloon and XE sedan for the 2018 model year. According to Jaguar’s recent announcement, the updates will also...
by - February 21, 2017
After Volkswagen snagged Toyota’s crown as the world’s best-selling automaker, there’s no stopping the Japanese manufacturer from dominating the hybrid arena. As of January 31st , Toyota’s increasing global unit...
by - February 21, 2017
There is no denying that the performance versions of the Jaguar F-Type and the Land Rover Range Rover are definitely hot – both in terms of looks and road dynamics....
by - February 21, 2017
Hyundai is introducing a new 2018 Accent that is not only wider and longer, but is now also sporting a new look that is more serious than the previous model....
by - February 20, 2017
Facebook

Youtube Channel

Tip Us
Do you have a tip for us?
Did you film an important event?
Contact us
Newsletter
Subscribe to our newsletter!
Subscribe
Galleries