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US Woes Drive Toyota Profits Down 28%

World's No. 2 automaker sees tough year ahead

By Jim O'Neill, Newser User

Posted May 8, 2008 7:15 AM CDT

(Newser) – Even Toyota—with its array of popular gas-sipping vehicles—is struggling in a slumping global economy, according to the latest figures. The world’s No. 2 automaker today reported that earnings for the last quarter fell 28% to $3.05 billion from $4.2 billion a year ago, reports the AP. "We are facing a severe business environment," said Toyota's president.

A stronger yen, slow sales in North America, rising costs, and a credit market that hasn’t rebounded will continue to hurt the company in coming months, officials predicted. For the first time in nine years, the company expects to see sales drop. Toyota analysts also predicted a net profit decline of 27% in the fiscal year ending next March.

A Chinese girl looks at a Toyota Vios on display at the Beijing International Automotive Exhibition in Beijing. (AP Photo/Andy Wong)

Toyota announced a decline in quarterly profits. (AP Photo/David Zalubowski, file)

Toyota Motor Corporation President Katsuaki Watanabe speaks during a press conference in Tokyo. (AP Photo/Shizuo Kambayashi)

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US Woes Drive Toyota Profits Down 28%

World's No. 2 automaker sees tough year ahead

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GM Sales Off 45% as US Auto Sales Hit 25-Year Low

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US Woes Drive Toyota Profits Down 28%

World's No. 2 automaker sees tough year ahead

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OTHER STORIES ON OUR RADAR

Toyota • automaker • corporate earnings • yen • auto industry • auto sales • economy

MOST POPULAR STORIES

[ By Views ]

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GM Sales Off 45% as US Auto Sales Hit 25-Year Low

Asian brands add market share amid sales freefall

Sales Skid Again for GM, Ford, Toyota

Detroit heavies off at least 20% each; Japanese giant down 9.4%

Toyota, GM In Tie for Top Automaker

Tie highlights two companies headed in opposite directions

Toyota Poised to Overtake GM

Plans to build 9.95 million vehicles, widen lead as largest automaker

Nov. Sales Languish for Big 3

Ford and GM announce production cuts as US sales slump continues

About Us

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Newser By Users

Community

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