Toyota execs say after record profit year, a slower one could follow image

It’s always hard to satisfy the very motivated Japanese executives – as is the case with Toyota, with its executives are now cautioning the growth could decrease.

While for the recently concluded fiscal year Toyota – the world’s biggest automaker – is ready to announce a record increase in its operating profit – with at least a $10 billion jump, the Tokyo headquarter is already preparing for a more subtle year to follow.

According to senior executives, as the gains from Japan’s Prime Minister Shinzo Abe’s policies and the weaker yen gains start to wind down, the most valuable company in the country is preparing for a much leaner – but also much stable growth period.

“Last year’s pace was abnormal in the context of sustainable growth,” said a senior executive, who declined to be named. “We don’t want people to be up on cloud nine just because we hit a record.” “We need to be cautious,” warned another.

While last year’s profit gains were astounding, reaching an estimated 80% jump, the consensus among analysts and forecasters is that next year Toyota will again post a rising profit – though of a much smaller growth – around 10% for gains of 2.66 trillion yen ($26 billion).

Via Reuters