Toyota Motor is going to have good earnings because many people are buying hybrid cars. This shows that Toyota, the biggest car company in the world, is going to make a lot of money even though people are not buying as many electric cars.
Even though Toyota is going to have a lot of profit, it still has some big problems. In China, many companies are fighting to sell cars at low prices. In America, people are finding it hard to buy cars because they have to pay more for loans.
Toyota has also faced competition from other countries. Some Chinese car companies are making cars that are cheaper. Also, a problem with safety tests for its small cars has made people in Japan worried about the quality of Toyota cars.
Toyota says it will make about $31.87 billion in profit for the year ending in March. That’s a lot more money than last year.
Many experts think Toyota will make about $5.7 billion in profit in the last quarter. This is based on a survey of nine experts.
Even though not many people are buying electric cars, Toyota is selling a lot of hybrid cars. These cars make more money for Toyota than regular gasoline cars.
Toyota started selling hybrid cars a long time ago with the Prius. In the past year, more than a third of the 10.3 million cars it sold were hybrids.
But, compared to other companies, Toyota is not doing well with electric cars. Other companies like Tesla, and some companies in Europe and China, are selling more electric cars.
Last year, Toyota only sold 1% of all electric cars. That’s much lower than their goal of selling 202,000 electric cars.
In China, Toyota has not been selling many cars. People in China like cars with lots of software. Until Toyota makes cars with more software, it might not sell many cars there.
To try and sell more cars in China, Toyota is working with a big Chinese technology company called Tencent. They also showed two new electric cars at a recent car show in Beijing.
Even though Toyota is not selling many cars in China, it’s doing better in America. In the first three months of this year, Toyota sold 20% more cars in America compared to last year.
Toyota’s stock price has gone up a lot in the past year. It has gone up 96% if you include money from dividends. Compared to Tesla, Toyota’s stock price has gone up 71%.
