Toyota forecast profit will rise 48 percent this fiscal year

Article by Christian A., on August 25, 2010

As Toyota Motor Corp. recovers from the daunting recalls in North America, it predicts that profit will increase by 48% this fiscal year. Aside from expecting a recovery in North America (its biggest market), the company also forecasts that sales will increase in Japan as well as in other parts of Asia.

In a statement, Toyota said that for the fiscal year that ended last March, net income may rise to 310 billion yen ($3.35 billion) from 209 billion yen a year earlier.

In April, its US sales increased by 24% as incentives raised the demand for its Corolla and Prius models and offset the impact of recalls of over 8 million vehicles worldwide for flaws linked to unintended acceleration. Toyota also forecasts that its North American sales will rise by 1.5% this fiscal year to 2.13 million vehicles.

When it comes to Toyota's earnings for this year, "North America is the only market that matters," according to Gentoku Kiyokawa, a fund manager in Tokyo at Fortis Investments, which bought Toyota shares last February.

He added that based on the latest sales figures, the recalls aren't causing much of a problem. As sales in the car industry fell 21% to 10.4 million units (its lowest since 1982), Toyota's US sales fell by 20% in 2009. Soon after the company launched discounts and other incentives across its lineup, sales in the US increased by 41% in March.

If you liked the article, share on:

Comments

Recommended

There is definitely a second-generation Super Series from McLaren. Even in camouflaged form, it is simply incredible. But while we still don’t have the full data on how truly dynamic...
by - February 25, 2017
A lot of fans are excited with the news that Porsche could be unveiling a performance version of its Panamera 4 E-Hybrid plug-in hybrid during the 2017 Geneva Auto Show. ...
by - February 25, 2017
Tesla is finally setting a more “definite” schedule with regards to the official launch of the Tesla Model 3 electric car. A “limited production” is said to be slated to...
by - February 25, 2017
Are you a big fan of legendary boxer Mike Tyson, the former heavyweight world champion? Or are you a big fan of the iconic Ferrari F50? Either way, you will...
by - February 24, 2017
It seems that AM-RB 001 hypercar is not the only vehicle project that Aston Martin and Red Bull Racing has gone into. This time, don’t expect something as outlandish as...
by - February 24, 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