Photo: Toyota
Toyota’s latest earnings report brought no surprises: the company acknowledged the recent production struggles and reported an 18 percent drop in the April-June quarter when compared with the financial results of the same quarter in 2021.
More specifically, the Japanese carmaker managed to sell approximately 2 million vehicles during the quarter, and this also represents a decrease from 2.1 million units one year ago.
The company reported a quarterly profit of 736.8 billion yen (that’s approximately $5.5 billion), once again a decrease from 897.8 billion yen (around $6.7 billion) in the same quarter of 2021.
The drop isn’t by any means surprising, as the company has struggled to reduce the disruptions caused by the lack of semiconductors while also facing new challenges, such as the Shanghai lockdown and the flood in South Africa.
But Toyota admits that for customers, the experience of buying a new car has become rather frustrating.
The waiting times have increased substantially lately, and while Toyota guarantees it’s working with its suppliers to address the production challenges, it’s hard to tell precisely when the waiting times could be reduced in a significant manner. Toyota, however, does expect most of the challenges, including the chip shortage, to show signs of recovery by the end of the year.
“We sincerely apologize for the inconvenience caused to our customers who are waiting for their vehicles due to the production constraints,” the company said on August 4.
“Sales volume decreased as we were not able to produce enough, with customers globally waiting for their vehicles to be delivered.”
The company explained that electric vehicles are the ones that are the most impacted by the lack of semiconductors, mostly because the number of chips that are installed on such cars is generally higher than on a traditional model. Toyota, therefore, explains that the waiting time for an EV is higher, but of course, the company reminds everybody it’s working to address this.
The company reported a quarterly profit of 736.8 billion yen (that’s approximately $5.5 billion), once again a decrease from 897.8 billion yen (around $6.7 billion) in the same quarter of 2021.
The drop isn’t by any means surprising, as the company has struggled to reduce the disruptions caused by the lack of semiconductors while also facing new challenges, such as the Shanghai lockdown and the flood in South Africa.
But Toyota admits that for customers, the experience of buying a new car has become rather frustrating.
The waiting times have increased substantially lately, and while Toyota guarantees it’s working with its suppliers to address the production challenges, it’s hard to tell precisely when the waiting times could be reduced in a significant manner. Toyota, however, does expect most of the challenges, including the chip shortage, to show signs of recovery by the end of the year.
“We sincerely apologize for the inconvenience caused to our customers who are waiting for their vehicles due to the production constraints,” the company said on August 4.
“Sales volume decreased as we were not able to produce enough, with customers globally waiting for their vehicles to be delivered.”
The company explained that electric vehicles are the ones that are the most impacted by the lack of semiconductors, mostly because the number of chips that are installed on such cars is generally higher than on a traditional model. Toyota, therefore, explains that the waiting time for an EV is higher, but of course, the company reminds everybody it’s working to address this.
Google News