Toyota Gains As Profit More Than Doubles Positive Outlook, Buyback Help Mood By Investing.com

0
26

© Reuters.

By Dhirendra Tripathi

Investing.com – Toyota Motor (NYSE:) shares were up more than 2% in Wednesday’s premarket as the company more than doubled its March quarter net profit and forecast a double-digit increase in annual sales in value terms. 

A $2.3 billion share repurchase program, a stock split of 5:1 and the announcement that it will return to pre-pandemic profitability in the current fiscal year also helped sentiment toward the stock. 

The world’s biggest automaker by vehicle sales expects demand in its biggest market, the U.S., to drive the recovery and forecast 2021-22 sales to grow 6.4% to 10.55 million units. The numbers include those under Daihatsu and Hino brands.

Toyota expects that boost in vehicle sales to help it clock a 10.2% annual increase in revenue to 30 trillion yen in the ongoing financial year. It sees net profit rising 2.4% to 2.3 trillion yen.

Net profit rose 137.4% from a year-ago quarter to 777.1 billion yen ($7.14 billion). Sales were up 11.4% at 7.68 trillion yen.

Other income that was higher by more than nine-fold at 372.5 billion yen boosted the profits.

The company said it will maintain and also improve upon its consolidated dividend payout ratio of 30%.

 

 

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.