Toyota Motor Corp TM shares are experiencing a remarkable surge in premarket trading following the release of its third-quarter and nine-month FY24 results.
In the third quarter, sales revenue soared to ¥12.04 trillion from ¥9.75 trillion the previous year.
The nine-month retail vehicle sales surged by 8.6% to 8.564 million units, with vehicle sales volumes hitting 7.3 million units, a substantial increase from the 6.5 million units recorded a year ago.
Toyota and Lexus vehicle sales experienced a remarkable 9.7% year-over-year increase to 7.9 million, with electric vehicle (EV) sales soaring by a striking 41.4% year-over-year to 2.8 million units.
For FY23, the company reported production of 11.52 million vehicles, marking the third consecutive annual increase, reflecting an 8.6% year-over-year upsurge.
Operating income for the quarter climbed to ¥1.68 trillion, compared to ¥957 billion in the prior-year quarter. The company attributed this increase to favorable impacts from marketing initiatives, primarily on improved volume and model mix, amounting to ¥700 billion.
Net income for the quarter also exhibited an impressive surge, reaching ¥1.36 trillion, as opposed to ¥728 billion the previous year. The company disclosed holding ¥7.58 trillion in cash and equivalents as of December 31, 2023.
FY24 Outlook: The automaker has revised its outlook, projecting a revenue of ¥43.5 trillion (an increase from the previous ¥43.0 trillion) and an operating profit of ¥4.9 trillion (an increase from the previous ¥4.5 trillion), with an additional ¥100 billion operating income driven by cost reduction efforts. Toyota has adjusted its total sales volume outlook to 9.450 million vehicles (down from the previous 9.600 million), citing the suspension of Daihatsu shipments as a primary factor for the anticipated decline in sales volume in Japan.
In premarket trading, TM shares surged by an impressive 3.55% to $210.23, presenting a robust performance in Tuesday’s early indicators.
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