Toyota Kirloskar Motor posts first loss in 5 years

In FY2017, Toyota hit peak profit per vehicle, which was nearly double that of Maruti Suzuki.

Toyota Kirloskar Motor has posted its first loss in 5 years.

According to the company's filing with the Ministry of Corporate Affairs, it registered a loss of Rs. 55 crore for the year ended on March 31, 2021. In the previous year, Toyota had posted a net profit of Rs. 187 crore. Total revenue is said to have dropped 16% to Rs. 13,181 crore.

In FY2017, Toyota hit peak profit per vehicle, which was nearly double that of Maruti Suzuki. Over the last 4 years, the company's operating margin has dropped from 7.13% to 1.97%. Operating profit per car dropped to Rs. 27,832 crore (25% less than Maruti Suzuki).

Toyota's realization per vehicle of Rs. 14.15 lakh in FY2021 was three times that of Maruti Suzuki and double of Hyundai. In the last fiscal, the company revenue was around 8-10% of the total passenger vehicle industry revenue. However, Toyota's market share has taken a hit and fell to about 3% in FY2020.

Source: ET Auto