Toyota Motor Corp. recorded a global operating loss of 108 billion yen ($1.4 billion) in the quarter from April to June, compared to a profit of 211.7 billion yen on the same period last year. This is the company’s first quarterly loss in two years.
In Europe, the company disclosed that its operating loss increased by 700 million yen to 7.5 billion yen. The company stated that unit sales in its European markets dropped by 13,000 to 174,000 during the period.
In its North American operations, the company’s operating income decreased by 80.8 billion yen to 28.9 billion yen. On the other hand, the company’s operating loss in Japan widened by 179.1 billion yen to 206.6 billion yen.
The company’s global result was better compared to the loss of 190 billion yen from the average estimates of six analysts as surveyed by Thomson Reuters. Moreover, the company reported a total global net profit of 1.2 billion yen versus the 190.5 billion yen net profit it obtained last year.
International revenue dropped 29.4 percent to 3.44 trillion yen. For the year ending March 2012, the company increased its estimates for worldwide operating profit to 450 billion yen, excluding earnings from China.
Meanwhile, a survey of 20 analysts revealed a forecast of 529.7 billion yen. Chief fund manager Resona Bank at Koji Toda shared that it is a relief to see that the automaker’s production has returned to normal. The manager added that although Toyota raised their estimates, the profits are still low based on the share price and PE.