Toyota Motor said on Thursday it posted a 17% rise in first-quarter operating profit, as the Japanese carmaker got a boost from cost reduction efforts and a weak yen that helped offset lower sales and production volume at home.
The world's top-selling carmaker said operating profit for the three months through June totalled 1.3-trillion yen (R158.64bn), matching the average of six analyst estimates compiled by LSEG.
“Despite the inability to maintain stable production in Japan due to factors such as certification issues and recalls, we achieved an increase in profit thanks to the support of all our stakeholders,” Toyota said.
The carmaker's challenges include a tough market in China and fallout from a certification scandal, which has also involved Toyota and Lexus-branded cars and hurt sales in Japan.
Its consolidated vehicle sales declined 3% in the quarter, presentation materials showed, with the share of petrol-electric hybrids in sales reaching about two fifths.
Toyota maintained its forecast of 4.3-trillion yen (R523.23bn) profit for the full year, versus a 5.3-trillion yen (R644.79bn) average of 18 analyst estimates.
The carmaker is grappling with a series of scandals at group firms over botched product certification test procedures that are undermining its reputation for safety and quality.
The transport ministry ordered Toyota on Wednesday to take drastic steps to prevent a recurrence of misconduct after discovering new wrongdoing in certification procedures.
Toyota posts 17% Q1 profit rise on weak yen; matches expectations
Image: Harold Cunningham/Getty Images
Toyota Motor said on Thursday it posted a 17% rise in first-quarter operating profit, as the Japanese carmaker got a boost from cost reduction efforts and a weak yen that helped offset lower sales and production volume at home.
The world's top-selling carmaker said operating profit for the three months through June totalled 1.3-trillion yen (R158.64bn), matching the average of six analyst estimates compiled by LSEG.
“Despite the inability to maintain stable production in Japan due to factors such as certification issues and recalls, we achieved an increase in profit thanks to the support of all our stakeholders,” Toyota said.
The carmaker's challenges include a tough market in China and fallout from a certification scandal, which has also involved Toyota and Lexus-branded cars and hurt sales in Japan.
Its consolidated vehicle sales declined 3% in the quarter, presentation materials showed, with the share of petrol-electric hybrids in sales reaching about two fifths.
Toyota maintained its forecast of 4.3-trillion yen (R523.23bn) profit for the full year, versus a 5.3-trillion yen (R644.79bn) average of 18 analyst estimates.
The carmaker is grappling with a series of scandals at group firms over botched product certification test procedures that are undermining its reputation for safety and quality.
The transport ministry ordered Toyota on Wednesday to take drastic steps to prevent a recurrence of misconduct after discovering new wrongdoing in certification procedures.
Ethiopia shifts to market-based foreign exchange system
Egypt raises domestic fuel prices by up to 15% before IMF review
Berkshire sells about $1.48 bln Bank of America shares, filing shows
Would you like to comment on this article?
Register (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Trending
Latest Videos