Posted by: David Kiley on August 6, 2008
Looking ahead to tomorrow’s quarterly earnings report from Toyota, the estimate is that the automaker’s operating earnings will PLUNGE 40%. But that would be a PLUNGE to about $3.6 billion, largely on declines on its U.S. business. And analysts still have the company on track to make at least $15 billion for the year.
It’s all a matter of perspective. I have to check my records and data, but I’m pretty sure no Detroit automaker has ever made that much in a year even when the industry was going gangbusters. True, Toyota dosn’t pay healthcare costs for workers and retirees the way GM, Ford and Chrysler have. But still…….there would be naked dancing in the streets if Ford or GM could manage to clear $15 billion in operating profit in one year.