|
Reports changed
http://www.google.com/hostednews/ap/...5blewD957L7PG2
NAGOYA, Japan (AP) — Toyota slashed its fiscal year profit forecast Monday to barely breaking even at 50 billion yen ($555 million) as Japan's top automaker gets hammered by plunging global demand and a surging yen. . . . Sinking sales in the U.S. in the wake of the financial crisis have dealt a heavy blow to Japanese automakers. But Watanabe said that emerging markets, which had held up in the beginning, were also slowing down now. . . . Watanabe vowed Toyota would grow so lean it will be able to realize profitability even if its worldwide sales slide to as low as 7 million vehicles — what he called the basic "bottom line" for Toyota. . . . Although plans to develop a diesel engine with Japanese partner Isuzu Motors will be stalled, Toyota will continue to invest in hybrids and other ecological technology, the executives said, as a long-term investment for growth. . . . One of the last claims by industry skeptics is that the Prius is produced at a loss. As Toyota continues to produce the Prius, it will not only bury this claim but more importantly, their competition will be unable to reply in kind as their R&D budgets disappear. But the irony is these claims about hybrid profitability will accelerate. There have been a number of 'concept' cars proposed and a few, production limited models. However, in economic crisis, these late companies will be under financial pressure to end these experiments and declare "Hybrids are too expensive." Their hybrid failures will be assigned to everything but their lack of foresight. Speculation on my part but this may provide an interesting window for after-market hybrids. Given the number of vehicles with front-wheel drive, it may make sense to design and build integrated, rear-wheel hybrid axle assemblies. This might provide a way, unoptimized but effective, to support a low-volume but profitable hybrid electric industry. Bob Wilson |
Toyota projects operating loss
http://www.google.com/hostednews/afp...jPzwS2KTKDyCqQ
TOKYO (AFP) — The economic crisis hit Japan's iconic Toyota auto company Monday as it forecast its first ever operating loss, heightening the sense of gloom over the world economy despite a slew of stimulus plans. Toyota, which vies with GM for the crown of the world's largest automaker, said it faced an "unprecedented crisis" and expected an operating loss of 150 billion yen (1.69 billion dollars) . . . The automaker has enjoyed hefty profits in recent years fuelled by demand overseas, notably in the United States, for its eco-friendly hybrid cars. But demand has fallen sharply in the United States as the credit crisis at banks drags down the whole economy, and analysts said Toyota's revision showed all automakers are affected, not just Detroit's Big Three which also includes Ford. . . . Bob Wilson |
Re: Toyota projects operating loss
Bad times for all car companies, actually almost all companies.
|
| All times are GMT -7. The time now is 04:28 AM. |
© 2024 MH Sub I, LLC dba Internet Brands