Toyota's net income drops by over 50 per cent

Friday, February 10, 2012

TOYOTA Motor Corporation (TMC) earlier this week announced financial results for the nine months ended December 31, 2011.

On a consolidated basis, net revenues for the nine months totalled 12,881.1 billion yen, a decrease of 10.2 per cent compared to the same period last fiscal year. Operating income decreased from 422.1 billion yen to 117.1 billion yen, while income before income taxes* was 197.2 billion yen. Net income decreased from 382.7 billion yen to 162.5 billion yen.

Operating income decreased by 305.0 billion yen. Major factors contributing to the decrease include the negative effects of marketing activities of 120.0 billion yen and currency fluctuations of 200.0 billion yen.

Consolidated vehicle sales for the nine months totalled 4,995 thousand units, a decrease of 522 thousand units compared to the same period last fiscal year.

Commenting on the results, TMC Senior Managing Officer Takahiko Ijichi said: "Despite cost reduction from company-wide Value Analysis activities and a decrease in fixed cost and expenses, net income decreased, compared to the same period last fiscal year due to the impact of reduced sales by the effects of Great East Japan earthquake, floods in Thailand and the continued Yen appreciation."

In Japan, vehicle sales totalled 1,357 thousand units, a decrease of 131 thousand units compared to the same period last fiscal year. The operating loss from Japanese operations increased by 132.0 billion yen, to a loss of 306.4 billion yen.

In North America, vehicle sales totalled 1,268 thousand units, a decrease of 280 thousand units compared to the same period last fiscal year. Operating income decreased by 99.3 billion yen to 151.8 billion yen, including 37.5 billion yen of valuation gains/losses on interest rate swaps. Operating income, excluding the impact of valuation gains/losses on interest rate swaps, decreased by 122.5 billion yen to 114.3 billion yen.

In Europe, vehicle sales totalled 580 thousand units, an increase of 4 thousand units, while operating income improved by 15.2 billion yen, to 8.5 billion yen.

In Asia, vehicle sales totalled 894 thousand units, a decrease of 16 thousand units, while operating income decreased by 61.8 billion yen, to 171.0 billion yen.

In Central and South America, Oceania and Africa, vehicle sales totalled 896 thousand units, a decrease of 99 thousand units, while operating income decreased by 21.2 billion yen to 96.0 billion yen.