Japanese trading giant Toyota Tsusho Corporation (TTC) recorded an 89.8 percent profit growth in its net earnings for Africa in the nine months ended December following improved sales in the region.
In the period under review, Toyota’s car sales increased by 38.4 percent to Ksh. 566 billion from Ksh. 408.7 billion. A year earlier the multinational company, which owns Toyota Kenya, posted a net profit of Ksh. 5.4 billion.
“Profit for the period (attributable to owners of the parent) increased 5.3 billion yen (Ksh.4.8 billion) or 89.8 percent year on year to 11.2 billion yen (Ksh.10.3 billion), largely as a result of automotive sales growth,” Toyota said in a trading update.
The multinational, whose main business in Africa is sales of motor vehicles including those manufactured by its affiliate company –Japanese automaker Toyota Motor Corporation, similarly revealed that its African business closed the period with assets worth Ksh.573.2 billion up from Ksh.488.7 billion.
In November 2019, TTC attained a controlling stake in Unitans Motor Holdings, one of South Africa’s largest dealer networks, as it sought to grow its footprint in the market. The acquisition was done via its subsidiary CFAO –the holding company for its automotive business in Africa.
“For the purpose of strengthening its automotive sales foundation in Africa, in November 2019, CFAO SAS acquired through a subsidiary, shares in Unitrans Motor Holdings Proprietary Limited, a leading automobile dealer network operator in South Africa,” TTC said.
Toyota Tsusho was established in 1948. As the sole general trading company in the Toyota Group. The company strengthened its overseas operations in the 1980s and 1990s and expanded around its core automotive business.
Since 2010, the company has expanded the scope and honed the capabilities of existing businesses while accelerating investments in new business fields, such as bluefin tuna aquaculture and overseas hospital management. The multinational company has operations in 53 African countries where it employs more than 10,000 people.
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