Despite some squalls on the vehicle recall front, the good ship Toyota has steamed on all but unaffected financially, rolling out another excellent set of improved results for the six months ended 30 September, 2007 and upping its full-year forecasts.

On a consolidated basis, net revenues for the first half of the fiscal year rose 13.4% to 13.01 trillion yen, operating income increased 16.3% to 1.27 trillion yen, while income before income taxes, minority interest and equity in earnings of affiliated companies was 1.36 trillion yen.

Net income increased 21.3% to 942.4bn yen.

Positive contributions to operating income totalled 330.0bn yen, consisting of 150.0bn yen from changes in foreign exchange rates, 130.0bn yen from marketing efforts and 50.0bn yen from cost reduction. Negative factors - unspecified - totalled 151.3bn yen.

TMC also announced an interim cash dividend of 65 yen per share for the first half of the fiscal year, an increase of 15 yen per share compared with the same period last fiscal year.

TMC executive vice president Mitsuo Kinoshita said: "For this period, we posted record results in both revenues and profits. We believe our efforts to build a globally balanced operational foundation contributed to these results. Net income has increased by nearly 70% over the last two years, due to a substantial increase in earnings by companies accounted for under the equity method, as well as increase in operating income."

Consolidated vehicle sales for this period reached a record high of 4.301m units, an increase of 156,000 units over the same period last fiscal year.

In Japan, vehicle sales decreased by 67,000 units, to 1.006m units. Operating income increased by 88.9bn yen, to 773.3bn yen, mainly due to improvements in the model mix of domestic and export sales, including strong sales of the Lexus LS models.

Vehicle sales in North America totalled 1.497m units, an increase of 33,000 units, due to steady sales including the redesigned Tundra and the Prius. Operating income increased by 3.6bn yen, to 254.1bn yen.

In Europe, vehicle sales increased by 46,000 units, to 635,000 units, due to strong sales of the redesigned Corolla and the Auris which has been manufactured here in the UK since early 2007. Operating income increased by 2.3bn yen, to 68.3bn yen. Strong Russian sales of Lexus models, the Camry (soon to be built locally) and the Corolla contributed to this result.

Sales in Asia increased by 70,000 units, to 452,000 units. Operating income increased by 55.4bn yen, to 116.7bn yen, mainly due to brisk sales recovery in the Asian markets including Indonesia. Consolidated subsidiaries in China also made a substantial contribution to the results, due to strong sales of Lexus models.

In other regions, including Central and South America, Oceania and Africa, vehicle sales increased to 711,000 units, an increase of 74,000 units, due to steady sales of the IMV series and the redesigned Camry. Operating income increased by 35.6bn yen, to 71.7bn yen.

TMC estimates that consolidated vehicle sales for the fiscal year ending 31 March will be 8.93m units, which is an upward revision from TMC's initial forecast of 8.89m units announced in May 2007. Additionally, consolidated net revenues were revised to 25.5 trillion yen (from 25.0 trillion yen), operating income to 2.30 trillion yen (from 2.25 trillion yen) and net income to 1.70 trillion yen (from 1.65 trillion yen).

Kinoshita added: "We aim to achieve higher levels of revenues and profits through further increase of vehicle sales and cost reductions."

Auto market intelligence
from just-auto

• Auto component fitment forecasts
• OEM & tier 1 profiles & factory finder
• Analysis of 30+ auto technologies & more