Toyota Jumps 16% After Lifting Profit Forecast to $24.7 Billion on Hybrid Sales
Updated
Updated · The New York Times · Nov 5
Toyota Jumps 16% After Lifting Profit Forecast to $24.7 Billion on Hybrid Sales
1 articles · Updated · The New York Times · Nov 5
Summary
$24.7 billion is Toyota's new operating-profit forecast for the year through March, 15% above its previous outlook after stronger April-September earnings.
More than 16% of market value was added in Tokyo trading Thursday, marking Toyota's biggest daily stock gain in nearly 40 years.
U.S. hybrid demand drove the upgrade as gasoline prices climbed with the Middle East war; third-quarter hybrid sales rose 28% from a year earlier.
Electric vehicles moved the other way, with U.S. EV sales down 40% as the Trump administration's removal of federal tax credits continued to weaken demand.
Toyota's long-criticized focus on hybrids is now paying off in the U.S., where tight inventories let the company sell fuel-efficient models with little discounting.