Toyota still the world’s largest automaker in terms of profits image

After the first six months of the year, Germany’s Volkswagen AG surprisingly beat Japan’s Toyota to hold the interim title of the world’s biggest carmaker in terms of sales.

But Toyota Motor Corp., the largest company in Japan, still retains a more important title – thanks to the higher earnings due to positive currency swings, it outpaced its two closest competitors – VW and GM – by miles where it is most important: profit. Toyota announced during its first fiscal quarter – for the April to June period – its operating profit jumped 9.1 percent to 756 billion yen ($6.16 billion). This is one and a half times the reported operating profit of $3.85 billion made by competitor Volkswagen AG and almost five times more than General Motors’ $1.3 billion. The three companies announced these results immediately after everyone found that VW snatched the worldwide delivery title from Toyota – even though both companies posted declines from year-ago levels. VW sales totaled 5.04 million units during the first six months of the year, while Toyota only delivered 5.02 million autos during the same period. GM was third from a distance – it sold 4.86 million vehicles during the first half of the year.

But that 20,000 vehicles lead is more than thin, considering that Toyota can deliver more Camry sedans on the US market alone in any given month. And Toyota’s behemoth profit came even as deliveries became stagnant – global sales slowed by 11,000 autos in the past quarter, due to weaker demand in Japan and all around Asia.

Via Automotive News