Strong sales and the yen’s historic fall are projected to boost Toyota Motor Corp.’s profit for the recent fiscal year, with the focus shifting to whether the world’s biggest carmaker can sustain growth in the face of economic headwinds and an uncertain supply outlook.
Analysts, on average, estimate that Toyota will show an operating profit of ¥3 trillion ($23 billion) for the period that ended in March when it reports results on Wednesday. That would top the Japanese automaker’s most recent forecast for ¥2.8 trillion. Analysts are predicting a ¥3.4 trillion profit for the current year, which began April 1.
Toyota’s sales have been robust in recent months. While January-March unit sales dipped 4.2% from record highs seen during the same quarter a year earlier, it marked a recovery from the prior quarter’s 12% decline. Those bolstered figures led the carmaker to post its second-highest unit sales figure ever for the recently ended fiscal year.