TOYOTA PROFIT FORECAST MORE THAN DOUBLES
Toyota Motor Corp. more than doubled its full-year operating profit forecast, as vehicle sales rebound in China from a coronavirus pandemic squeeze earlier this year that contributed to a 24% slide in second-quarter earnings, Tim Kelly reported for Reuters.
Japan’s top automaker said it now expects an operating profit of 1.3 trillion yen ($12.6 billion) for the year through March, 2021, up from the 500 billion it predicted previously. Operating profit for the previous financial year was 2.47 trillion yen. That topped the 1.25 trillion yen average estimate for full-year profit from 26 analysts polled by Refinitiv.
For the second quarter, from July to September, operating profit fell to 506 billion yen from 662.4 billion in the same period a year earlier, according to Reuters’ calculations, as sales dipped amid the coronavirus impact globally. Still, the numbers already showed progress compared with April-June, Chief Financial Officer Kenta Kon said. “If you compare the second quarter to the first you can see a dramatic recovery,” Kon said, speaking during an online press briefing.
The maker of the RAV4 sports utility vehicle (SUV) crossover and the Prius gasoline hybrid now expects to sell 9.42 million cars this year - up 3.5% from a previous forecast of 9.1 million this year, but still well below last year’s sales of 10.46 million.