Toyota achieves $1.2B USD profit despite recalls

Toyota achieves $1.2B USD profit despite recalls

It wouldn’t be crazy to think that Toyota should have lost a load of money in the last financial quarter. Toyota were responsible for the company’s largest-ever global recall and safety scandal and there reputation for reliability and safety was tarnished right? Well, not really, because Toyota has just reported a profit between January and March this year of $1.2 billion USD.

This profit comes despite Toyota reporting that costs related to the recall mess totaled a notch over a billion US dollars (or, 100 billion yen) and surely took a monetary hit compared to previous years due to the unprecedented spate of incentives to keep sales rolling. Toyota’s sales incentive spending is up by over half (an average of $2,498 USD per vehicle) compared to the previous year.

According to company head Akio Toyoda, the automaker plans to continue boosting profits by “offering high quality, reasonably priced vehicles.” The bottom line is that Toyota has proved much more resilient than many people thought.

It wouldn’t be crazy to think that Toyota should have lost a load of money in the last financial quarter. Toyota were responsible for the company’s largest-ever global recall and safety scandal and there reputation for reliability and safety was tarnished right? Well, not really, because Toyota has just reported a profit between January and March this year of $1.2 billion USD.

This profit comes despite Toyota reporting that costs related to the recall mess totaled a notch over a billion US dollars (or, 100 billion yen) and surely took a monetary hit compared to previous years due to the unprecedented spate of incentives to keep sales rolling. Toyota’s sales incentive spending is up by over half (an average of $2,498 USD per vehicle) compared to the previous year.

According to company head Akio Toyoda, the automaker plans to continue boosting profits by “offering high quality, reasonably priced vehicles.” The bottom line is that Toyota has proved much more resilient than many people thought.

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