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Toyota Q4 net profit tumbles on quake, strong yen

Toyota Q4 net profit tumbles on quake, strong yenToyota Motor Corp., the biggest car maker in Japan reported a 77% fall in net profits for the quarter ending on March 2011 on Wednesday. The company said the decline in production is due to disorder in the production and the effects of the strong yen.

It also said that the company is trying hard to come back to its normal regime after March 11 devastating earthquake followed by tsunami.

The company being the world’s biggest automaker by sales volume had not announced its earnings forecast, its production plan and other guidance for this fiscal year through March 2012, subject to various uncertainties. Neither had it tried to assume for the dollar/yen exchange rate in the coming year.

March 11 devastation had created supply shortage problems at home and overseas as tsunami had destroyed northern Japan and damaged many production facilities in the region.

The company announced that it will recover its production worldwide from June itself because earlier the company had announced that it will come to normal level by July in Japan and overseas by August.

Toyota was the latest Japanese car maker to withhold an earnings projection for the current fiscal year, underlining the scale of the disruption to the key auto industry after the disaster in March.