Toyota says that the global economic condition is hurting its ability to post a strong net income forecast for 2008 to just one-third of what it was last year. Toyota, expected to retain its title as the world’s most profitable automaker, announced yesterday that net income will likely decline about 68 percent to $5.6 billion for its fiscal year ending March 30.
Toyota has been hit hardest by slow sales in the North American and European markets, high raw materials and goods prices and decreased dollar and euro values against the yen.
Standard & Poor’s downgraded Toyota’s stock from “hold” to “sell” yesterday upon hearing the news. And a Credit Suisse analyst told the Detroit Free Press that Toyota is expected to announce more production cuts, potentially at its United States truck and SUV plants. Those plants recently signed a deal with Middle Eastern and Central American distributors to sell Tundras and Sequoias on the export market, but only in small numbers to begin.
11/07, 10:46 AM
posted by:
Borat
Compare to performance of our domestic industry this is glorious success. Imagine profit of only 5.6 billion. Each of former “big” 3 dreams if their losses were only 5.6 billion bucks.
11/07, 5:02 PM
posted by:
CanGo87
Yes yet so many people on this board rant about how toyota is falling so hard and they are idiots and arent a good company anymore. If you can still make money in this market then you arent in the worst position ever.