Toyota profits boosted by yen’s weakness and cost cutting

Toyota has seen its profits nearly double, boosted by the Japanese yen’s weakness and cost cutting.

The carmaker made a net profit of 1.82 trillion yen ($17.8 billion) in the year to March 31, up from 962 billion yen a year ago.

But that was lower than its February forecast of 1.9 trillion yen profit.

Japanese companies, especially those relying on exports, have benefited from the weakness in the yen which helps lift their profits when they repatriate their overseas earnings back home.

The Japanese yen has weakened by nearly 18% against the US dollar since the start of 2013 amid aggressive policy measures by the government.

Toyota, the world’s biggest carmaker, said the yen’s weakness boosted its profits by nearly 900bn yen during the past financial year.