you mean this?

And of course, there is an reason Toyota makes more money per vehicle than everyone else but Porsche, including luxury brand BMW which is 3rd (8.9% for Toyota, 8.1% for BMW).
If Toyota gave $3,000 per vehicle for 40k Corolla's per month, they would not be able to announce biggest profit in the history.

 

Maybe Toyota should check out their current on-going promotions. Edmunds.com would be a good place to start. You can use 60606 as a zip code if you are curious.

 

well it has a brand name, all i meant was that it didnt have the recognition that lexus, m-b, bmw etc have

 

A section of a WSJ article about a change in BMW marketing startegy:

 

What do those percentages mean? Does it mean that Toyota makes, on average, an 8.9% profit per vehicle?

If so, that doesn't mean that Toyota makes more money per vehicle than BMW, since the average BMW is a lot more expensive than the average Toyota.

Of course, in overall profits Toyota makes a lot more, since it sells a lot more cars than BMW.


In any case, Toyota's must have really improved the profit per vehicle numbers in 2006, since through June 2005, its profit per vehicle wasn't even as good as Nissan's.


Total U.S. vehicle profits through June 2005.

Nissan: $1,826
Toyota: $1,488
Honda: $1,023

-------------------------------------
August 31, 2005

Troy, Michigan - General Motors had the worst per-vehicle net income of North America's top six automakers during the first half of 2005, according to a report from Harbour Consulting.

GM lost an average of US$1,227 per vehicle sold in North America during the first six months of 2005. Ford was second with a per-vehicle loss of US$139, while the Chrysler group showed a profit, of US$186 per vehicle.

All three top Japanese manufacturers also showed a profit: Nissan was the highest at US$1,826 per vehicle, followed by Toyota at US$1,488 and Honda with US$1,023.

source : canadiandriver.com

 

Those look to be local dealer incentives, not national Toyota-backed incentives. In fact, I used multiple zip codes on Toyota's website to try and find a deal on a Corolla, and all I could manage was a lower than normal lease rate. I could not find any cash back or big incentives for the Corolla.

And what if it's fleet percentage really isn't at an "all time high"? Is it so hard to believe that a big increase in demand occured for fuel efficient compact cars, and the Corolla is one of the most well known compact cars out there.

 

yes, it means that Toyota makes 8.9% per vehicle, which is VERY unusual since for smaller and cheaper cars, you have smaller margins.

So for global Toyota to have bigger margin than sucessful luxury car makers such as BMW, it is an big feat.
This is enourmus for Toyota.

And if they average 8.9% for global Toyota, their Lexus numbers are much more impressive.

If you didnt hear, Toyota just posted record high profit, with 23% rise in quarter profits.

 

Toyota Reports 39% Jump in Profit
By YURI KAGEYAMA, AP Business Writer 21 minutes ago

TOKYO - Toyota chalked up a 39 percent jump in profit for its first fiscal quarter as soaring gas prices led drivers around the world to ****** up the Japanese automaker's models known for their good mileage.

Toyota Motor Corp., which also benefited from a weaker yen and cost-cutting efforts, reported Friday a 371.5 billion yen ($3.2 billion) profit in the April-June quarter, a sharp rise from 266.9 billion yen in the same period the previous year.

Quarterly sales surged 13 percent to 5.6 trillion yen ($49 billion) from 4.98 trillion yen a year earlier, according to the company, which is based in Toyota city, central Japan.

Toyota, the world's second biggest automaker after General Motors Corp., is not the only Japanese automaker to record recent robust results, in contrast to the plight of GM and other U.S. automakers, whose gas-guzzling image is hurting sales.

Some analysts say Toyota is on track to overtake GM as the world's No. 1 automaker in vehicle production and sales in a few years.

Toyota sold 2.09 million vehicles around the world in the latest quarter, up from 1.95 million the same period a year earlier. Sales were especially robust in North America where it sold 747,300 vehicles, up more than 16 percent from 641,200 sold in the first quarter of last year.

Toyota models previously seen as rather small like the Corolla and niche offerings like the Prius hybrid — which switches between a gas engine and electric motor to deliver better mileage — are gaining new appeal in the U.S., where retail gasoline prices have risen to about $3 per gallon.

In July, Toyota for the first time beat Ford Motor Co. in U.S. vehicle market share, outselling Ford to be No. 2 after GM. Ford's year-to-date sales are still ahead of Toyota's, and the U.S. companies blamed the drop in market share on last summer's heavy incentives, or discounts on car prices, that had artificially elevated sales.

"Toyota's results were excellent," said Tsuyoshi Mochimaru, auto analyst at Deutsche Securities in Tokyo, adding that Toyota's earnings got an extra lift from investment costs that had dragged down profits last year. "Sales growth in the American market worked as a big plus for Toyota."

Toyota kept unchanged its forecast for the full fiscal year ending March 2007, at 1.31 trillion yen ($11.4 billion) profit on 22.3 trillion yen ($194 billion) sales. It also maintained its vehicle sales forecast for fiscal 2006 at 8.45 million vehicles, up from 7.97 million Toyota sold in the fiscal year ended March 31.

During April-June, Toyota's vehicle sales in Japan stayed flat and dipped in Asia but improved in Europe, as well as North America and other regions.

In quarterly revenue, Toyota reported a 14 percent increase in Japan, 19 percent rise in North America and 24 percent surge in Europe. While revenue inched down 4 percent in Asia it leaped 25 percent for other regions during the three months.

Also contributing to Toyota's bottom line were a weak yen, which added 100 billion yen ($871 million) to operating profit, and 20 billion yen ($174 million) in cost cuts, the company said in a statement.

Toyota is likely to continue to get a big lift from the growing global interest in fuel-efficiency. Toyota has recently begun selling a hybrid version of the Camry sedan in the U.S. The Camry has been the best-selling car in North America for eight of the last nine years.

Japanese rival Honda Motor Co., which reported a 29.6 percent increase in profit to 143.4 billion yen ($1.2 billion) for the quarter through June, has also been boosting its U.S. market share. Honda makes the Civic and Accord, both reputed as delivering solid mileage.

In contrast to Toyota's booming results, U.S. automakers have been struggling.

GM, which is shutting plants and sending thousands of workers on early retirement, lost $3.4 billion in the latest quarter, while Ford lost $254 million.

But Toyota has faced its own troubles, including increasing numbers of recalls that are partially due to its efforts to cut costs by using the same parts across various models.

Japanese authorities have launched a criminal investigation into three Toyota officials suspected of failing to act on knowledge about a faulty steering part, which may have caused a 2004 head-on accident that injured five people.

Toyota also faces a sexual harassment lawsuit in the U.S. filed against Hidetaka Otaka, who has since stepped down as the president and chief executive of Toyota's U.S. unit. Otaka says he is innocent.

Toyota appointed Jim Press, an American who headed Toyota's U.S. sales unit, as president of Toyota Motor North America Inc., overseeing sales and engineering divisions as well as 12 manufacturing plants in the U.S. and Canada — the first non-Japanese to take that position.

Toyota shares, which have gained about 50 percent in the last year, inched down 0.5 percent in Tokyo to finish at 6,080 yen ($53).

 

No I think you misunderstood me.

I believe that the Corolla's outstanding sales are due in part to fleet sales. I have no hard proof, but I do know that there sure are a LOT of them out at O'Hare in the rental car lots.

The $3K is an average that Toyota gave back on all cars. This is often in the form of low APRs or subsidized leases and occasionally dollars back to the dealer/customer.

 

except that Toyota denied they had 3k average on their cars.
And there is no way Toyota could post such huge profits by giving 3k discounts on average.

whatever the reason is, it doesnt really matter since it makes Toyota very profitable company. If they can sell all of their Corolla's to fleets and none to the retail, it would still be great, because they made huge profits doing it.

 

They made 3.2 bill in profit in a QUARTER! With heavy investment in money losing hybrids! And wihout resorting to sameness and cheap interiors.Wow

 

yeah, its amazing... now image what they will do in next quarter, on the strenghts of all these new vehicles (Camry, ES, Yaris, FJ, Rav4) being more available... what a feeling!

 

I believe that incentive figure was for USA only and I believe that their profit is for them as a company and not just in the USA - unless I read that press release wrong.

And to be clear here, I have no issues with Toyota making serious dollars - they make a very reliable car, they stand behind it, and they've been doing this for a while - it only stands to reason that people will continue to re-buy them and those who have been burned by having their trans go out on their Ford at 40,000 miles and getting absolutely no assitance from Ford/GM will eventually see the light.

 

actually, USA is by far most profitable market :-). In Europe, they barely make any profit right now (due to heavy expansion) ...

 

I believe it was last year they made their first profit in Europe