Toyota Motor Corp. has maintained its profit outlook for the current year, underscoring the carmaker’s concerns over its ability to produce vehicles amid parts shortages, rising material costs and pandemic disruptions in China, and even as a weaker yen boosts income in its home currency.
Toyota shares fell as much as 3.9% after the world’s biggest automaker kept its forecast for operating profit of ¥2.4 trillion ($18 billion) for the fiscal year through March, short of analysts average projection of ¥3.3 trillion. Profit also fell short of estimates in the April-June quarter, at ¥579 billion versus the prediction of ¥808 billion.
Semiconductor shortages, higher raw material costs and curbs related to COVID-19 in China have caused turmoil at auto assembly lines across the globe.