Japanese auto giant Toyota Motor Corp. (TM, TYT.L) Wednesday reported a sharp increase in full-year profit, helped by sales growth in all regions and its cost reduction initiatives. The company also forecast higher profit and vehicles sales for the fiscal year ending March 31, 2014.
For fiscal 2014, the company estimates consolidated vehicles sales to be 9.1 million units, an increase of about 229,000 units over the prior fiscal year, due to rise in vehicle sales outside Japan.
President Akio Toyoda stated, "In the fiscal year ended March, we experienced increased sales of our vehicles mainly in North America and Asia, and, coupled with the results of companywide profit improvement activities, we booked operating income of 1.32 trillion yen."
Consolidated vehicle sales in the current fiscal reached 8.871 million units, an increase of 1.519 million units from last year. The firm said it is making progress in reforming its manufacturing technologies and vehicle development processes under the 'Toyota New Global Architecture.'
In Japan, vehicle sales totaled 2.279 million units, an increase of 207,997 units compared to the prior year. In North America, the company sold 2.469 million units, up 596,381 units from last year. In Europe, vehicle sales increased 1,092 units, to reach at 799,085 units. In Asia, Central and South America, Oceania and Africa, the company recorded higher sales.
For the fiscal year ended March 31, 2013, net income attributable to the company was 962.16 billion yen, higher than 283.56 billion yen in the previous year. On a per share basis, earnings increased to 303.78 yen from 90.20 yen in the prior year.
Operating income advanced year-over-year to 1.32 trillion yen from 355.63 billion yen a year ago. According to the company, the rise in operating income was mainly due to positive effects from marketing activities that generated 650 billion yen, savings from cost reduction efforts of 450 billion yen and currency fluctuations of 150 billion yen.
Consolidated net revenues climbed 18.7 percent to 22.06 trillion yen.
Looking ahead to fiscal year 2014, the company expects net income of 1.37 trillion yen, up 42.4 percent from 2013. Consolidated net revenues are expected to be 23.5 trillion yen, an increase of 6.5 percent from the prior fiscal. The company said its outlook is based on an exchange rate of 90 yen to the U.S. dollar and 120 yen to the euro.
Further, TMC announced a year-end dividend of 60 yen per share, to be proposed at the general shareholders meeting in June.
TM closed Tuesday's regular trading at $116.08 on the NYSE.
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