Toyota cuts full-year operating profit estimate by 16%
FILE PHOTO: Toyota Motor Corporation's cars are seen at a briefing on the company's strategies on battery EVs in Tokyo, Japan December 14, 2021. REUTERS/Kim Kyung-Hoon/ File Photo
TOKYO :Toyota Motor cut its full-year operating profit forecast by 16 per cent on Thursday as an appreciating yen and higher U.S. import tariffs weighed on its financial results.
The world's biggest automaker cut its full-year operating profit forecast to 3.2 trillion yen ($21.7 billion), down from a previous outlook of 3.8 trillion yen, on the heavy fallout from the tariffs, higher material prices and currency fluctuations.
Toyota said it expects the U.S. levies to reduce its profit by 1.4 trillion yen for the entire fiscal year. It had previously estimated a hit of 180 billion yen for April and May, but it had not issued a full-year projection until now.
For the April to June first quarter, Toyota reported an operating profit of 1.17 trillion yen, down from 1.31 trillion yen a year earlier, but above the 902 billion yen average of seven analyst estimates compiled by LSEG.
($1 = 147.2300 yen)
