Toyota has warned that profits will drop by a fifth this year as the stronger yen hits the Japanese car giant.
T oyota has warned that profits will drop by a fifth this year as the stronger yen hits the Japanese car giant.
The company, which last year lost the title of the world’s largest car maker to Volkswagen, said operating profit will fall from 1.99 trillion yen (£13.4bn) last year to about 1.6 trillion yen in the next.
Weaker sales – particularly in the US – and the strength of the currency in its home market are contributing to the decline, which was below market expectations.
Toyota has tried to combat falling sales in recent months with stronger incentives to buyers and dealers, but delivering its annual results On Wednesday the company said it would not endlessly offer price cuts.
