REUTERS
Profit target reduced by more than a sixth
Hail losses in stock transactions Toyota the annual balance sheet. Japan’s largest carmaker has cut its profit target for fiscal year 2018/19 to a net profit of 1.87 trillion yen (15 billion euros). Originally, the carmaker had expected 2.3 trillion yen.
However, the carmaker holds on its sales target of 29.5 trillion yen (268 billion euros) – also confirmed Toyota the annual target of operating profit of 2.4 trillion yen in March ending fiscal year.
In the period from October to December, the operating result climbed by 0.4 per cent to 676.1 billion yen. Analysts had forecast 680.84 billion yen. Quarterly sales were 7.8 trillion yen ($ 71 billion) for the third fiscal quarter, an increase of nearly 3 percent from 7.6 trillion yen a year earlier.
Net income, on the other hand, dropped to 180.9 billion yen in the third quarter, according to AP. Benefiting from the US tax reform, the profit for the same period last year was 941.8 billion yen.
The manufacturer of the Prius, which also includes the small car specialist Daihatsu and the commercial vehicle manufacturer Hino Motors, raised its sales forecast for the current financial year by 50,000 cars to the record of 10.55 million vehicles.
Toyota expects demand in the important US market to cool off, but sales are expected to increase in China and Western Europe. However, there are signs of an unstable situation in China, the largest car market in the world. In the context of the ongoing trade dispute between the USA and China, sales fell last year for the first time in 28 years.
rei / ap / Reuters