Toyota ditches its profit forecast after Thai floods

TOYOTA withdrew its annual profit guidance yesterday as Thai floods threaten output just as it had recovered from supply shortages that battered production after the March earthquake in Japan.

Like Toyota, Honda also dropped its earnings forecasts after being hard hit by Thailand’s worst floods in at least 50 years, although Nissan raised its outlook as it adapts more quickly to the disaster, which hit its operations in the country.

Toyota posted a bigger-than-expected 32 per cent slide in quarterly operating profit, partly triggered by a soaring yen as the company was recovering from the earthquake and tsunami. Net profit dropped 18.5 per cent to 80.42bn yen (£642m) while revenue fell 4.8 per cent to 4.57 trillion yen. Global vehicle sales slid 4.7 per cent to 1.805m.