Toyota posts record income of $23 billion

Published May 9, 2018, 12:00 AM

by manilabulletin_admin

By (AFP)

Tokyo – Japanese car giant Toyota reported a record full-year net profit Wednesday thanks to a weaker yen and US tax cuts, but warned about the outlook for the next 12 months.

The company’s president Akio Toyoda said the industry was facing ‘’profound change’’ and pledged to transform the auto giant into ‘’a mobility company.’’

Japan’s leading carmaker said net profit jumped 36.2 percent to 2.49 trillion yen ($23 billion) in April-March, but for the current year it expects that to fall 15 percent to 2.12 trillion yen.

The boost was driven by a weaker yen and cost-cutting measures, but also US tax cuts, which have pushed up profits for other automakers in recent months.

‘’Toyota quickly recovered thanks to the US tax cuts and a weak yen for the last fiscal year,’’ Satoru Takada, an analyst at TIW, a Tokyo-based research and consulting firm, told AFP ahead of the Wednesday earnings report.

Toyota said sales rose 6.5 percent to a record 29.3 trillion yen despite a 0.1 percent decline in vehicle sales by unit, and operating profit was up 20.3 percent.

It said it expected the market in developing countries to stay steady, with the market in emerging economies expanding gradually.