News Column

Toyota Triples Quarterly Profit as US Sales Rebound

Nov. 6, 2012

Chris Woodyard

Toyota Sales

Toyota says it tripled its global net earnings to $3.2 billion for the quarter ended Sept. 30 compared with the same period last year. For the first half of its fiscal year that began April 1, profit rose 572% compared with last year -- to 548.2 billion yen ($6.9 billion) from 81.5 billion yen -- pushed along by a sales rebound in the U.S.

It said that much of its better profit performance was due to cost-reduction efforts.

The huge profit jump came on a 36% increase in revenue, to 10.9 trillion yen ($138 billion) Toyota said in a release from its headquarters in Japan. The increased sales came as Toyota was back at full production compared with the period a year ago when it still was recovering from the March tsunami in Japan and the Thailand floods later in the year.

"We have seen a significant increase in production in all regions compared to the same period last year when we suffered a parts-supply shortage," said Satoshi Ozawa, executive vice president of Toyota Motor, in a statement.

Toyota also raised its earnings forecast to 1.05 trillion yen (about $13.2 billion) for the full fiscal year ending March 31, from a previous prediction of about $9.5 billion. The forecast assumes an exchange rate of 79 yen to the dollar.

Toyota reported higher sales in every one of its units around the world. Highlights:

North America. With the U.S. leading the way, Toyota sold 1.3 million vehicles, up by 572,000. In the U.S., Toyota has scored with its mainstays, the Camry and Corolla sedans, and with its Prius hybrids, which now come in four different versions.

Japan. Vehicle sales totaled 1.2 million, an increase of 395,000.

Europe. It sold 412,000 vehicles, up 51,000. That's against a shortage-depressed period a year ago, but still an accomplishment in an overall European market headed for a 20-year sales low.

Likewise, it saw big increases in South America, Africa and elsewhere in Asia, as well.

While the recovered Toyota is on pace to reclaim the crown of world's No. 1-selling automaker from General Motors this calendar year, it trimmed its forecast slightly for total sales in its fiscal year to 8.75 million vehicles from 8.8 million earlier.

Source: Copyright USA TODAY 2012

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