Restructuring exercises take their toll on their profit figures.
For the Japanese fiscal year of 2016/2017, Toyota Australia has reported an after-tax profit of just $99-million, significantly lower than the $236-million from the previous year. The marque has pegged this drop to the massive restructuring exercises and increased costs due to the company shutting down its local manufacturing facilities.
Among many other things the company is doing as the sun sets on their local manufacturing activities includes moving all their offices to Melbourne, as well as reducing their employee count to just 1,300 staff, down from the near-4,000 that they currently employ.
Overall, $131-million was used for restructuring efforts this year, while just $81-million was used the year before. Worsening the situation for them were “adverse foreign exchange in export markets,” with 55,445 cars built in Victoria sent out to markets around the region.
President of Toyota Australia, Dave Buttner, said that “the company is well progressed in its transition to a sales and distribution company, and will continue to be a strong force in the Australian marketplace.” He also recognised the manufacturing staff that remain on payroll, who “have worked diligently to ensure that our last Camry will be our best one yet.”
Toyota will end local manufacturing this year, with the final Australian-built Camry rolling off the production line on October 3rd.