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

Dubai is one of the few countries where expensive cars are the norm, many of which are specially modified as well. And this just in: Bentley has debuted the new...
by - November 21, 2017
The 2018 Jaguar XEL with its stretched-out wheelbase and longer doors is the newest addition to the growing list of premium sedans in China---joining the ranks of Mercedes-Benz C-Class L,...
by - November 21, 2017
Honda this week announced that its all-new 2018 Clarity Plug-in Hybrid will arrive at US dealerships with a starting price of $33,400 beginning on the first of December. Because the...
by - November 21, 2017
Lamborghini had been expected to refresh its entry-level model – the Lamborghini Huracan – in late 2018 or early 2019. But here is some good news for fans of the...
by - November 20, 2017
The Chevrolet Corvette will be turning 65 years old in 2018, and as part of the celebrations, the brand is introducing a special edition C7 – the Chevrolet Corvette Carbon...
by - November 19, 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