Toyota 2008 Annual Report Download - page 16

14 TOYOTA •Annual Report 2008 •
society in line with our “Sustainability in Three Areas” concept.
In the area of research and development, our key themes are the
environment, energy, safety, and excitement, and we are working toward the
goal of sustainable mobility in an automotive society where people and the
Earth live in harmony. With regard to environmental and energy issues, we
have positioned hybrid technology as one of our core technologies. We are
working to increase both the number of hybrid vehicles sold and the number
of hybrid models available. We have also started public road tests of plug-in
hybrids that can be charged from household electrical outlets to accelerate
development aimed at their commercial introduction. Moreover, we have
developed flexible-fuel vehicles (FFVs) that run on pure bioethanol. Last year
in Brazil we launched FFV models, Corolla Flex and Corolla Fielder Flex. In
the area of improved safety, we are focusing on everything from preventive
safety to collision safety in an effort to create cars that never cause accidents
or injury. Innovations so far include a Pre-Crash Safety System that can detect
pedestrians ahead as well vehicles approaching from the rear. We will
implement side airbag and curtain shield airbag systems to help absorb
impact from side collisions.
In addition to creating sustainable vehicles, we are also actively pursuing
sustainability in manufacturing. We have initiated “Sustainable Plant”
activities that have brought about remarkable improvements in productivity
and energy savings at our production facilities. At the Tsutsumi Plant where
we manufacture Prius hybrid vehicles, solar power generation is being used
to produce approximately 2,000 kilowatts of electric power. Photocatalytic
paint applied to the exterior walls of the plant is also expected to help
eliminate nitrogen dioxide, sulfur dioxide, and other emissions as effectively
as 2,000 poplar trees. Another example of our efforts can be seen at our
Takaoka Plant, where in August 2007 we began using revolutionary new
production technologies. We also simplified and slimmed down production
facilities and downsized the scale of production lines to increase productivity
and significantly improve energy efficiency. In addition to carrying out these
and other “Sustainable Plant” activities at our domestic plants, we will also
gradually introduce them at plants overseas.
Q.What is the outlook for Toyota’s business results in fiscal 2009?
A.We anticipate a decline in revenues and earnings due to the steep
rise in raw material costs and the effects of foreign exchange rates.
In fiscal 2009, ending March 31, 2009, we anticipate a decline in North
American vehicle sales. However, we plan to increase sales across the entire
Toyota Group to 9.06 million vehicles, an increase of 147,000 over the
previous fiscal year, by growing our sales in resource-rich and emerging
countries in Asia, the Middle East, and other regions. In China, where sales
are not included in our consolidated sales totals, we plan to sell 640
thousand vehicles, an increase of 170 thousand over the previous year. We
therefore anticipate decreases of 4.9% in consolidated net revenues, to
¥25,000.0 billion; 29.5% in consolidated operating income, to ¥1,600.0 billion;
and 27.2% in consolidated net income, to ¥1,250.0 billion. (For further details,
Performance Outlook
’04 ’05 ’06 ’07 ’08 ’09
(Projection)
0
4
2
6
10
8
9.06
(millions of units)
FY
Consolidated Vehicle Sales
Note: Fiscal years ended March 31
Messages from the Management