Toyota Motor Corporation (TMC) announced its financial results for the first quarter ended June 30, 2017.
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Consolidated vehicle sales for the first quarter totaled 2,215,111 units, an increase of 42,452 units compared to the same period last fiscal year.
On a consolidated basis, net revenues for the period totaled 7.0476 trillion yen ($63.491 billion), an increase of 7 percent.
Operating income decreased from 642.2 billion yen ($5.785 billion) to 574.2 billion yen (5.172 billion) while income before income taxes1 was 679.3 billion yen ($6.119 billion).
Net income increased from 552.4 billion yen ($4.976 billion) to 613.0 billion yen ($5.522 billion).
Operating income decreased by 67.9 billion yen ($611.7 million). Major factors contributing to the decrease included currency fluctuations of 35 billion yen ($315.3 million) and an increase in expenses of 45 billion yen ($405.4 million) offset by an increase of 50 billion yen ($450.4 million) due to cost reduction efforts.
Commenting on the results, TMC Senior Managing Officer Tetsuya Otake said: “Despite the positive effect of cost reduction efforts, operating income was down 67.9 billion yen ($611.7 million), mainly due to the effects of marketing activities and an increase in expenses.â€
In Japan, vehicle sales totaled 544,223 units, an increase of 33,053 units. Operating income, excluding the impact of valuation gains/losses from interest rate swaps, increased by 29.7 billion yen ($267.5 million) to 319.9 billion yen ($2.881 billion).
In North America, vehicle sales totaled 723,619 units, an increase of 8,235 units. Operating income, excluding the impact of valuation gains/losses from interest rate swaps, decreased by 76.5 billion yen ($689.1 million) to 88.8 billion yen ($800 million).
In Europe, vehicle sales totaled 240,344 units, an increase of 17,636 units, while operating income, excluding the impact of valuation gains/losses from interest rate swaps, increased by 11.9 billion yen ($107.2 million) to 20.5 billion yen ($184.6 million). ■