Toyota Profit Plunges Amidst Scandal

Toyota Profit Plunges Amidst Scandal

independent.co.uk

Toyota Profit Plunges Amidst Scandal

Toyota's profit plunges due to production halts caused by a certification scandal and recalls, but the company maintains its full-year forecast.

English
United Kingdom
International TradeFraudAuto IndustryFinancial PerformanceProductionRecalls
Toyota Motor Corp.Hino MotorsDaihatsu Motor Co.Honda Motor Co.Nissan Motor Co
Yuri KageyamaYoichi Miyazaki
What fraudulent activities led to Toyota's production stoppages?
The production stoppages resulted from fraudulent testing, including the use of inadequate data in crash tests and incorrect airbag inflation testing, impacting vehicle sales and profits.
What are Toyota's plans to address the issues and improve its future performance?
Toyota plans to invest more in human resources and growth areas, pursuing a multi-pathway approach with hybrids, fuel cells, and electric vehicles. They also plan to improve their subsidiaries and supply chains.
What was the main cause of Toyota's significant profit decline in the July-September quarter?
Toyota's July-September profit plummeted to $3.7 billion, less than half of the previous year's profit of $1.28 trillion, due to production stoppages following a certification scandal and recalls.
How did Toyota's vehicle sales perform in the latest quarter compared to the previous quarter?
Toyota sold 2.3 million vehicles globally in the latest quarter, a decrease from 2.4 million vehicles in the previous quarter. Their full-year vehicle sales forecast has also been reduced to 10.85 million vehicles.
What is Toyota's full fiscal year profit forecast, and what is the expected recovery timeline?
Despite the significant profit drop, Toyota maintained its full fiscal year profit forecast at $23 billion, down from the previous year's $4.94 trillion. Recovery of vehicle production is expected in the second half of the fiscal year.