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0822
Financial Section and
Investor Information
Business and
Performance Review
Special FeatureMessage/Vision
Management and
Corporate Information
Management's Discussion and Analysis of Financial Condition and Results of Operations
Net income attributable to the shareholders of
Toyota Motor Corporation increased by ¥198.7
billion, or 94.9%, to ¥408.1 billion during fiscal
2011 compared with the prior fiscal year.
Other comprehensive income decreased by
¥558.8 billion to loss of ¥297.9 billion for fiscal
2011 compared with the prior fiscal year. This
decrease resulted from unfavorable foreign
currency translation adjustments losses of ¥287.6
billion in fiscal 2011 compared with gains of ¥9.8
billion in the prior fiscal year, and from unrealized
holding losses on securities in fiscal 2011 of ¥26.1
billion compared with gains of ¥176.4 billion in the
prior fiscal year. The decrease in unrealized
holding gains on securities was due to changes
in stock prices.
The automotive operations segment is Toyota’s
largest operating segment by net revenues. Net
revenues for the automotive segment increased
during fiscal 2011 by ¥139.9 billion, or 0.8%,
compared with the prior fiscal year to ¥17,337.3
billion. The increase was due to the ¥740.0 billion
impact of increased vehicle unit sales and the
changes in sales mix and the ¥69.8 billion increase
in parts sales, partially offset by the ¥722.5 billion
unfavorable impact of fluctuations in foreign
currency translation rates.
Operating income from the automotive
operations increased by ¥172.3 billion during fiscal
2011 compared with the prior fiscal year to ¥86.0
billion. This increase in operating income was due
to the ¥300.0 billion impact of increased vehicle
unit sales and the changes in sales mix, the ¥180.0
billion effect of cost reduction efforts and the ¥54.4
billion impact of increase in parts sales, partially
offset by the ¥30.0 billion increase in miscellaneous
costs and the ¥290.0 billion unfavorable impact of
fluctuations in foreign currency rates.
The following is a discussion of results of operations for each of Toyota’s operating segments. The
amounts presented are prior to intersegment elimination.
Net Income attributable to Toyota Motor
Corporation
Other Comprehensive Income and Loss
Segment Information
Automotive Operations Segment
0
500
-500
1,000
1,500
2,000 20
15
10
5
0
-5
‘07 ‘11‘10‘09‘08
FY
ROE (Right scale)
(¥ Billion)
(%)
Net Income (Loss), and ROE
Yen in millions
Year ended March 31, 2011 vs. 2010 Change
2010 2011 Amount Percentage
Automotive Net revenues ¥17,197,428 ¥17,337,320 ¥139,892 +0.8%
Operating income (loss) (86,370) 85,973 172,343 —
Financial Services Net revenues ¥ 1,245,407 ¥ 1,192,205 ¥ (53,202) −4.3%
Operating income 246,927 358,280 111,353 +45.1%
All Other Net revenues ¥ 947,615 ¥ 972,252 ¥ 24,637 +2.6%
Operating income (loss) (8,860) 35,242 44,102 —
Intersegment elimination/
unallocated amount:
Net revenues ¥ (439,477) ¥ (508,089) ¥ (68,612) —
Operating income (loss) (4,181) (11,216) (7,035) —
in Asia were primarily attributable to the increase
in Toyota’s vehicle unit sales by 276 thousand
vehicles supported by the recovery of Asian
automotive markets, particularly in Thailand and
Indonesia, as the Asian economy is generally in
the recovery trend.
Interest and dividend income increased by ¥12.6
billion, or 16.0%, to ¥90.8 billion during fiscal 2011
compared with the prior fiscal year due to the
¥10.5 billion increase of dividend income.
Interest expense decreased by ¥4.1 billion, or
12.2%, to ¥29.3 billion during fiscal 2011
compared with the prior fiscal year.
Foreign exchange gain, net decreased by
¥53.9 billion, or 79.0%, to ¥14.3 billion during
fiscal 2011 compared with the prior fiscal year.
Foreign exchange gains and losses include the
differences between the value of foreign currency
denominated sales translated at prevailing
exchange rates and the value of the sales amounts
settled during the year, including those settled
using forward foreign currency exchange
contracts.
Other income, net decreased by ¥11.7 billion,
or 37.7%, to ¥19.2 billion during fiscal 2011
compared with the prior fiscal year.
The provision for income taxes increased by
¥220.2 billion, or 237.6%, to ¥312.8 billion during
fiscal 2011 compared with the prior fiscal year
due to the increase in income before income
taxes. The effective tax rate for fiscal 2011 was
55.5%, which was higher than the statutory tax
rate in Japan. This was due to the increase in
deferred tax liabilities relating to undistributed
earnings in affiliated companies accounted for by
the equity method.
Other Income and Expenses
Net income attributable to the noncontrolling
interest increased by ¥22.5 billion, or 64.9%, to
¥57.3 billion during fiscal 2011 compared with the
prior fiscal year. This increase was due to an
increase during fiscal 2011 in net income
attributable to the shareholders of consolidated
subsidiaries.
Equity in earnings of affiliated companies
during fiscal 2011 increased by ¥169.6 billion, or
373.5%, to ¥215.0 billion compared with the prior
fiscal year. This increase was due to an increase
during fiscal 2011 in net income attributable to the
shareholders of affiliated companies accounted
for by the equity method.
Income Taxes
Net Income and Loss attributable to the
Noncontrolling Interest and Equity in
Earnings of Affiliated Companies
54TOYOTA ANNUAL REPORT 2011