Toyo reports a return to profitability
Toyo Tire & Rubber Co. Ltd. posted net income of 2.9 billion yen on net sales of 287.7 billion yen for its 2009 fiscal year ended March 31, 2010. That compares to a net loss of 10.7 billion yen on sales of 328.4 billion yen for the previous fiscal year.
Based on the exchange rate on March 31, 2010, Toyo recorded revenue of $32 million on sales of $3.1 billion for its most recent fiscal year. Its income-to-sales ratio was 1%.
The company's fiscal 2009 operating income of 8.6 billion yen compared to an operating loss of 2.9 billion yen for FY 2008.
Comparative net tire sales, which accounted for 74.4% of total sales, were down 11.4%, from 242 billion yen to 214.3 billion yen.
Here is a breakdown of the company's results by geographic area (with fiscal 2008 results in parentheses).
Japan: net sales, 159.9 billion yen (180.7 billion yen); operating income, 4.4 billion yen (operating loss of 9.7 billion yen).
North America: net sales, 86.3 billion yen (98.5 billion yen); operating income, 2.9 billion yen (2 billion yen).
Others: net sales, 41.4 billion yen (49.1 billion yen); operating income, 1.7 billion yen (1.8 billion yen).
For the fourth quarter ended March 31, 2010, Toyo posted net income of 2.5 billion yen (versus a net loss of 732 million yen in 4Q FY '08) and net sales of 70 billion yen (compared to 59 bilion yen).
Toyo projects net income of 4 billion yen on net sales of 300 billion yen for its fiscal year 2010 ending March 31, 2011. Tire sales are expected to reach 227.8 billion yen, a 6.3% increase over fiscal year 2009.
Full-year sales in North America are projected to increase by 12.4%, to 97.1 billion yen.