Toyota looks to profit boost

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Toyota looks to profit boost

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Toyota has raised its annual net profit forecast by more than 10 percent.

It is now looking at the equivalent of 6.6 billion euros for the year.

That is based on strong sales, particularly in its biggest market the United States, as it shipped a record number of vehicles last year.

A fall in the value of the yen against other currencies is also helping.

Among Japan’s big three automakers Toyota, Nissan and Honda, analysts see Toyota as the most likely to benefit from a weakening yen because it has the highest ratio of production in Japan, more than half of which it exports.

But the world’s best-selling carmaker said it would not build any new factories over the next three years despite the pickup in its fortunes.

“It’s easy to confuse volume expansion with true growth as a company,” Senior Managing Officer Takahiko Ijichi told reporters.

“We’re getting rid of that way of doing business,” he added.