Toyota’s Business Performs Much Better Than Its Cars: $2.25 Billion Profit

If the average person had to wager a guess as to Toyota’s profits in the fiscal year that ended in March, he would probably bet that Toyota was swimming in a deep, deep sea of red. He’d also be quite wrong.

The company posted a profit of around $2.25 billion for that fiscal year, beating the hell out of the previous year, in which it posted a significant loss. That profit came during a time when the company was involved in recalls of over 9 million vehicles and government investigations thereof. The company’s performance was particularly strong in the first three months of the year, which accounted for $1.2 billion of the profit.

Despite its image problems and ongoing government investigations into its safety record, Toyota is forecasting an even more profitable year for next fiscal year ($3.34 billion). You think it can afford another $16.4 million fine or two?

I guess it just goes to show: if you build it poorly, attempt to hide it, fail to address it for months, and then throw out a bunch of big deals and incentives, they will come. [NY Times via WCF]