Toyota, Honda facing losses - First ever for toyota!

[agentsmith2]

FT.com / UK - Honda braced for cutbacks as loss looms

Analysts at Goldman Sachs expect Toyota to fall into the red by Y300bn in the second half, in what would be its first loss since at least 1940, when it began publishing financial statements.
Honda has been cutting production as sales have fallen, and yesterday it announced a further reduction of 54,000 units at its Japanese plants.

[SuperSyn]

Ah, FT. Just more Anglo propoganda against Japanese companies.

They are looking to book losses in last quarter or last half of the year, but not for the complete year. In any case when you compare that GM went through $ 100 billion these losses by Honda, Toyota etc are really great profits.

[aaggoswami]

This was expected. Toyota has too much money, so they wont be affected and same is almost true for Honda also.

By end 2009, the economy is expected to start coming out of the worst phase it is in now. So I think that the losses for both Honda and Toyota wont be there for too long, neither of them will feel a lot of pinch. Honda has made a timely exit from F1. Toyota is having the highest budget in F1 and they are not able to get success. They may pull out also.

[snaronikar]

It was expected. No company on the earth is spared with this recession. Even our company which was making around 30~35% profits YOY.

Toyota has already cut the costs in India investment by Rs.100 cr (today's TOI). Thenew plant will manufacture only small cars instead of corolla and small cars. They are not making any new investments in other countries either.

[nanopano]

Not only Toyota and Honda, all car manufacturers are facing heavy loss due to economic recession. The tight credit market, waning car customers, and a severe meltdown have also made many of the car manufacturers like Toyota, General Motors,and Tata to shut down their productions. I have also heard that Honda has defered its expansion plans in the country and in response to the meltdown in the market, the car companies have also postponed their new car launches.

[pshyamsundar]

The new corolla is not a new corolla at all. It is just few cosmetic changes. We can just say it is a facelift. it will not generate that much of sales agains civic.

[bhp1]

Both Honda & Toyota are big players in U.S. market & huge chunk of their sales come from there. So it was just obvious for these two, to also suffer losses.

[Thad E Ginathom]

FT is Anglo propaganda?

Well, I doubt that any of the Media is actually independent, but I find this an incredible statement!

Anglo propaganda about Japanese companies? What Anglo propaganda about Japanese companies?

[GTO - Touring]

It is yet a prediction, but Toyota ain't denying!! Shows that even the best of 'em are not immune to market conditions. Sales are falling rapidly in the States - Toyotas most profitable market. Unthinkable!! Shows that it isn't entirely GMs fault for the mess they found themselves in. Difference is, Toyota has a massive cash reserve and a truly great range of products.

[raveen_2023]

Toyota should launch Yaris in india. It is the right size for indian market.

[m-hawk]

Originally Posted by raveen_2023

Toyota should launch Yaris in india. It is the right size for indian market.

Ya its the right size but maybe not the right time for any launch when people are suffering with the cash crunch !! It s affecting across the market and cars are no exception !!