Toyota is showing no signs of slowing down either, as it has bumped up its forecast for full-year global production, going from 9.94 million to 10.12 million vehicles, on the back of a 13-percent drop in the buying power of the Japanese yen versus the US dollar. That strong exchange rate is largely responsible for Toyota's big jump in profits, although it also managed to shift 1.3 million vehicles in the US market this year. Strong Camry sales have also helped. But while Toyota is raking in the cash, it actually saw a small drop in market share, down 0.1 percent to 14.3 percent of the US market.
As is the case with most automakers, Toyota seems flummoxed by Europe, where it recorded less than one percent of its revenue. Still, as Automotive News points out, Toyota only maintains a 4.5-percent market share in Europe and is far less dependent on the continent than other manufacturers. Toyota also struggled at home, much like Honda. With 525,777 units sold, JDM sales were down almost 51,000 units, although Toyota still saw its operating profit jump from $3.5 billion to $4.6 billion.
Scroll down for Toyota's official press release.
Toyota Motor Corporation Announces First Quarter Financial Results
(All consolidated financial information has been prepared in accordance with
accounting principles generally accepted in the United States of America)
Toyota City, Japan, August 2, 2013-Toyota Motor Corporation (TMC) today announces financial results for the first quarter ended June 30, 2013.
On a consolidated basis, net revenues for the first quarter totaled 6.2553 trillion yen, an increase of 13.7 percent compared to the same period last fiscal year. Operating income increased from 353.1 billion yen to 663.3 billion yen, while income before income taxes1 was 724.1 billion yen. Net income2 increased from 290.3 billion yen to 562.1 billion yen.
Operating income increased by 310.2 billion yen. Major factors contributing to the increase include currency fluctuations of 260.0 billion yen, cost reduction efforts of 70.0 billion yen, and marketing activities of 30.0 billion yen.
Consolidated vehicle sales for the first quarter totaled 2,231,859 units, a decrease of 36,704 units compared to the same period last fiscal year.
Commenting on the results, TMC Managing Officer Takuo Sasaki said: "Operating income increased due to the impact of foreign exchange rates and our global efforts for profit improvement, through cost reduction activities such as companywide value analysis, and through marketing activities such as enhancement of the model mix and pricing."
In Japan, vehicle sales totaled 525,777 units, a decrease of 50,893 units compared to the same period last fiscal year. The operating income from Japanese operations increased by 348.9 billion yen to 456.0 billion yen.
In North America, vehicle sales totaled 688,656 units, an increase of 26,309 units compared to the same period last fiscal year. Operating income decreased by 34.9 billion yen to 82.6 billion yen, including a loss of 20.9 billion yen of valuation gains/losses on interest rate swaps. Operating income, excluding the impact of valuation gains/losses on interest rate swaps, increased by 7.9 billion yen to 103.5 billion yen.
In Europe, vehicle sales totaled 192,511 units, a decrease of 16,336 units, while operating income increased by 1.8 billion yen to 5.2 billion yen.
In Asia, vehicle sales totaled 394,866 units, a decrease of 23,890 units, while operating income increased by 2.5 billion yen to 104.1 billion yen.
In Central and South America, Oceania and Africa, vehicle sales totaled 430,049 units, an increase of 28,106 units, while operating income increased by 15.3 billion yen to 42.5 billion yen.
In the financial services segment, operating income decreased by 35.4 billion yen to 51.2 billion yen compared to the same period last fiscal year, including a loss of 26.9 billion yen of valuation gains/losses on interest rate swaps. Excluding valuation gains/losses, operating income increased by 8.0 billion yen to 78.2 billion yen.
TMC estimates that consolidated vehicles sales for the fiscal year ending March 31, 2014 will be 9.1 million units, which are same as TMC's forecasts announced in May 2013.
In addition, TMC forecasts consolidated net revenue of 24 trillion yen, operating income of 1.94 trillion yen and net income of 1.48 trillion yen for the fiscal year ending March 31, 2014, based on an exchange rate of 92 yen to the U.S. dollar and 122 yen to the euro.
Commenting on the forecasts for FY2014, Sasaki said: "While paying close attention to the conditions in each market and responding flexibly, we plan to continue our efforts to improve the company's profit structure."