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Tuesday, February 7, 2023

Japanese auto giant Toyota expects record 79.5% drop in annual profits

Toyota, the Japanese auto manufacturer has predicted that its annual operating profit will decrease by a huge margin of 79.5% this year due to low demands caused amid pandemic. The company intends to launch new cars in 2020 and 2021. But given this situation, the new manufacturing will slow down.

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Toyota on Tuesday said it expected a 79.5 percent drop in its annual operating profit this fiscal year as it suffers “significant” fallout from the coronavirus pandemic.

The Japanese auto giant declined to give a net profit forecast for the fiscal year to March 2021 but noted that the impact of the crisis on its business was “wide-ranging, significant and serious”.

The company now expects an annual operating profit of 500 billion yen ($4.6 billion), down 79.5 percent from the 2.44 trillion yen logged in the past year to March.

Toyota forecast a near-20 percent drop in annual sales to 24 trillion yen, compared with 29.93 trillion yen achieved in the past fiscal year.

Read more: Toyota: Yaris Hatchback vs Corolla Hatchback

The company’s net profit for the past year to March came to 2.076 trillion yen, up 10.3 percent on the year.

“As for the global economy going forward, there is concern that there will be a sharp decline in many countries and regions due to the impact of COVID-19,” Toyota said in a statement.

“While we assume that the global automobile market as a whole will gradually recover after bottoming out during April and June of 2020… the impact of COVID-19 is wide-ranging, significant and serious, and it is expected that weakness will continue for the time being.”

Toyota will soon launch Highlander 2021

Toyota Highlander, the otherwise 3-row family vehicle is now coming in an all-new XSE model. It will be a sportier crossover with an aggressive look.

Toyota Highlander 2021 is part of the second year of the current generation which comprises models that have a more welcoming cabin and an improved driving experience. Toyota Highlander is one of the smallest choices in the market when it comes to three-row family crossover vehicles.

This new trim level will go on sale this fall as a 2021 model of Highlander.

2021 Toyota Highlander will be competing with the new Kia Telluride, Hyundai Palisade, Honda Pilot, and Subaru Ascent. The new 2021 Highlander with its better size and cabin quality, ultra-efficient Highlander Hybrid model, and impressive resale value outperforms its competitors and hence has a much better chance of striking big in the market.

Read more: Toyota Corolla Hybrid is all what America needs in 2020

Toyota Highlander, being compact in size is more maneuverable and easier to park in smaller garages. Its small exterior size translates into a smaller interior capacity. For taller passengers, long journeys would be tiresome due to the limited headroom.

Toyota Highlander 2021 comes with a soft genuine leather packed interior. Wood on the dash and center console is decent looking and tasteful. It is pleasant to touch. It also has a panoramic roof for a full-fledged view of the outside world.

Inside, the Highlander XSE has a unique color scheme with red accents and red leather seats.

Most trim levels are fitted with an 8-inch touchscreen infotainment system, which for the convenience of passengers is mounted high within easy reach and sight. Id it is delayed, it will reduce Toyota annual profit.

The infotainment features it controls include an 11-speaker JBL audio system and integrated navigation, Android Auto, Apple CarPlay, Amazon Alexa connectivity, satellite radio, in-car WiFi, and Safety Connect emergency services.

Read more: Toyota launches All-new Corolla 2020 model

There are also five standard USB ports and the Driver Easy Speak system that broadcasts the driver’s voice through the rear speakers.

AFP with additional input from GVS News Desk