Business & Economy

Toyota earned $13.4 billion from April to December, 14.1% drop

Tokyo, Feb 10 (efe-epa).- Japanese car group Toyota Motor said Wednesday it recorded a 1.47 trillion yen ($13.4 billion) net profit from April to December 2020, 14.1 percent less than the previous year due to the impact of the coronavirus pandemic.

The Japanese firm saw profit fall by 26.1 percent to 1.51 trillion yen in the aforementioned period, which represents the first nine months of the fiscal year in Japan.

The turnover of the largest Japanese manufacturer in the automotive sector by sales volume was 19.52 trillion yen, 15 percent less than the previous year, mainly due to the decrease in global demand due to the COVID-19 health crisis, the company said at a press conference.

Toyota Motor sold 5.43 million vehicles worldwide between April and December, a decrease of 20.7 percent compared to 2019.

“Despite the continued impact of the coronavirus pandemic in all regions, we have managed to close this period with a positive operating result,” said Toyota’s chief operating officer, Kena Kon, at a telematic press conference.

The company executive also highlighted “the trend in sales recovery” observed in the last quarter of 2020 in Japan, China and the United States, its main markets.

Another factor that has mitigated the fall in global demand in Toyota’s results is the cost reduction plan of 300 billion yen, Kon said.

Based on these results, the Japanese manufacturer decided to upward its forecast of results for the current fiscal year, which will end on Mar. 31.

Toyota Motor expects to record a net profit of 1.9 trillion yen, 6.7 percent less year-on-year, while its operating profit would amount to 2 trillion yen, a 16, 6 percent less.

The company estimates its annual sales turnover will be 26.5 billion yen, 11.3 percent less, and calculates it will sell 7.6 million vehicles worldwide, 15 percent less. EFE-EPA


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