Toyota swings to profit, raises outlook

By Grace Wong, contributor


LONDON (CNNMoney.com) -- Toyota Motor Corp., just months off a recall crisis in the United States, said Wednesday that it swung to a profit in its latest quarter and boosted its full-year sales outlook.

The automaker posted a net income of $2.2 billion (¥190.4 billion) for its fiscal first quarter, which ended June 30. Toyota posted a net loss of $899 million in the same period last year.

The company's quarterly results were driven by strong sales in Asia. Excluding Japan, Toyota sold 285,000 vehicles in the region -- up 47% from a year earlier.

Toyota (TM) also saw gains in North America, where it sold 526,000 vehicles, up nearly 36% from the prior-year period.

However, the company could have trouble maintaining growth in North America, as the most recent auto sales show consumers in the United States are still wary about buying new vehicles.

Toyota, which has been hit by a wave of recalls, saw its U.S. sales slip 3% in July from a year earlier.

In terms of global sales, the Japanese automaker offered an upbeat outlook, saying it expects to sell 7.4 million vehicles worldwide during the year, compared to 7.2 million in 2010.

On the back of its strong first-quarter results, it also raised its profit and revenue forecasts for the year.

For the next fiscal year ending in March 2011, Toyota expects net income to reach $3.9 billion and for revenue to rise to $226 billion.

That compares to its earlier forecast of a full-year net income of $3.6 billion on sales of $223 billion.

However, Toyota noted that foreign exchange fluctuations and the end of incentives in Japan could affect its business. To top of page

Frontline troops push for solar energy
The U.S. Marines are testing renewable energy technologies like solar to reduce costs and casualties associated with fossil fuels. Play
25 Best Places to find rich singles
Looking for Mr. or Ms. Moneybags? Hunt down the perfect mate in these wealthy cities, which are brimming with unattached professionals. More
Fun festivals: Twins to mustard to pirates!
You'll see double in Twinsburg, Ohio, and Ketchup lovers should beware in Middleton, WI. Here's some of the best and strangest town festivals. Play
Index Last Change % Change
Dow 18,132.70 -81.72 -0.45%
Nasdaq 4,963.53 -24.36 -0.49%
S&P 500 2,104.50 -6.24 -0.30%
Treasuries 2.00 -0.01 -0.69%
Data as of 3:27am ET
Company Price Change % Change
Apple Inc 128.46 -1.96 -1.50%
Microsoft Corp 43.85 -0.20 -0.47%
Facebook Inc 78.97 -1.44 -1.79%
Cisco Systems Inc 29.51 -0.40 -1.34%
Intel Corp 33.25 -0.40 -1.19%
Data as of Feb 27
Sponsors

Sections

Berkshire Hathaway CEO Warren Buffett released his 50th annual letter to shareholders. The Oracle of Omaha thinks the next 50 years will be great and knows who will replace him. More

Potential presidential candidate says that improvement in unemployment rate is due to millions of jobless not being counted. More

With the death of Leonard Nimoy, the actor who played Star Trek's Spock, we remember his character's legacy: The technology we use every day. More

A social media frenzy about the color of a dress is bringing fame and fortune for one small British fashion company. More

The top 5 consumer complaints have to do with identity theft, debt collectors, imposters, telephone companies and banks. More