Toyota Motor Corp <7203.T> aims to lift its group operating profit to more than 1 trillion yen ($12.16 billion) in two to three years by strengthening its ability to overcome a stronger yen and stepping up cost-reduction efforts, the Nikkei business daily reported.
President Akio Toyoda is expected to announce the goals on Wednesday through a briefing on global vision, Toyota's new long-term business guideline, the Nikkei said. This guideline is expected to also spell out measures that Toyota plans to implement to beef up operations, the daily said. For example, Toyota aims to boost sales by offering strategic vehicles that are developed by taking into account road conditions and consumer tastes in specific regions, the Nikkei said.
The company also intends to develop advanced production technologies and increase overseas procurement of major components to drive down costs, the paper said. Toyota forecasts its group operating profit will come to 550 billion yen in the current year ending March, based on the assumed exchange rate of 86 yen to the dollar. The operating margin is estimated at 2.9 percent, the business daily reported.
(Reporting by Bijoy Koyitty; Editing by Maju Samuel)