Toyota Motor Corporation (TM) Management on Q4 2022 Results - Earnings Call Transcript

Toyota Motor Corporation (NYSE:TM) Q4 2022 Results Earnings Conference Call May 11, 2022 ET

Company Participants

Kenta Kon - Executive Vice President, Chief Financial Officer

Masahiko Maeda - Executive Vice President, Chief Technology Officer

Jun Nagata - Chief Communications Officer

Masahiro Yamamoto - Accounting Group Chief Officer

Conference Call Participants

Kohei Kondo - Asahi Newspapers

Sean McLain - Wall Street Journal

Operator

Thank you very much for joining us today despite your occupied schedule. We would like to start the Toyota Motor Corporation's Financial Result Announcement for the period ending in March 2022. First of all, let me introduce to you the members present for this briefing. Executive Vice President, Chief Financial Officer, Kenta Kon, Executive Vice President, Chief Technology Officer, Masahiko Maeda, Chief Communications Officer, Jun Nagata, and Accounting Group Chief Officer, Masahiro Yamamoto.

Now ladies and gentlemen, first of all, Yamamoto will share with you the overview of the financial results.

Masahiro Yamamoto

Hello, everyone. Thank you for joining us today. I am Masahiro Yamamoto. We would like to express our heartfelt appreciation to our customers around the world who chose us, as well as our shareholders, dealers and suppliers who support us.

We would like to express our sincere gratitude to all the stake holders. I sincerely apologize for the inconvenience caused to our customers due to the recent production volume reduction. We will work hard to deliver our products as soon as possible.

First, let me explain the summary of our performances for the fiscal year ended March 2022. Under the production constraints due to the spread of COVID-19 and semiconductor shortages, dealers, suppliers, and production sites have all worked tirelessly in order to deliver as many cars as possible to customers.

Despite soaring materials prices and increase in expenses for the investment in new business fields, we achieved growth in revenue and profits, thanks to cost reduction and marketing efforts.

This is attributable to the improvement of our revenue structure, which we have been working on for a long time, towards one that is not dependent on foreign exchange rates and volumes.

As for the forecast, we have set our production volume assumption to an appropriate level, having safety and security as our top priority. We expect a decrease in our operating income due to unprecedented increases in materials and logistics costs.