Toyota profits last year set high expectations for 2010

Based on the financial results of the last fiscal year ending in March 2009, Toyota Motor Corporation (TMC) predicted a consolidated net revenue for fiscal year ending in March 2010 of 16.5 trillion yen and vehicle sales of 6.5 million units. TMC’s financial expectations for this year seemed like a stretch primarily because of the direct hit the automotive industry has taken due to this economy, but also because TMC’s profits suffered a severe decrease from fiscal year 2008 to 2009. Nevertheless, Newark new Toyota dealer was right to be confident in their inventory and in TMC.

As it turns out, TMC was off with their financial forecasts for fiscal year 2010, but being wrong never felt so right. It turns out that TMC underestimated their profits with net revenues totaling 18.95 trillion yen and vehicle sales reaching 7.24 million units. Japan accounts for the majority of the vehicles sold with their sales reaching 2.16 million units followed by North America with 2.1 million vehicles. The remaining 3 million units sold are accredited to Asia, Europe, and other regions. All regions suffered a slight decrease in sales from fiscal year 2009 except for Japan, where vehicle sales increased by 218 thousand units, and Asia, which experienced a 74 thousand increase in units.

While vehicle sales exceeded what was predicted a year ago, they are still about 22% less than the vehicle sales that were achieved in fiscal year 2009. However, the number units sold is still more than TMC expected. Akio Toyoda, President of TMC, stated that they have suppliers and dealers, like Newark Used Toyota dealer, to thank for the more than 7 million vehicle sales this fiscal year.

The consolidated net revenue also suffered a slight decrease of 7.7% compared to fiscal year 2009, but again, numbers still exceeded what was expected. Considering the economic distress of what are usually TMC’s most profitable regions, a much bigger decrease than a mere 7.7% was anticipated.

Following the last fiscal year results, Mr. Toyoda predicted that, because of challenging business circumstances, TMC would suffer from considerable deficits for this fiscal year’s operating income. Again, it’s probably never felt so good to be wrong. Operating income increased from a loss of 461 billion yen in fiscal year 2009 to 147.5 billion yen for the 2010 fiscal year. These numbers reflect a back to back improvement in operating income for all regions.

Moving forward, Mr. Toyoda believes that investing in sustainable enterprises will allow Newark new Toyota dealers to experience even more sales moving forward. With a focus on sustainable growth and also on emerging countries, TMC has forecasted that consolidated vehicles sales will reach 7.29 million units for the fiscal year ending March 2011. With such a premise, TMC has modestly estimated a consolidated net revenue of 19.2 trillion yen.

Given the challenging conditions of this economy, particularly for the automotive industry, Toyota’s continuous development is nothing short of amazing. Mr. Toyoda’s progressive intentions for TMC are bound to enhance profits for the fiscal year 2011.