Toyota earnings sink on supply chain disruptions, stronger yen  The earthquake and tsunami that struck Japan in March have caused supply chain disruptions to businesses based in the island nation and throughout the world. As a result of manufacturing delays, Toyota Motor delivered quarterly earnings this week that missed analysts' expectations.

Toyota, which is the world's biggest automaker, said its net profit in the January through March quarter plummeted 77 percent from the year prior as a result of supply chain disruptions and the relatively strong yen. Further, the company didn't release an earnings forecast, a production plan or other guidance for this fiscal year through March 2012 because of the uncertainty over whether production will be back at full capacity by year's end, Market Watch reports.

Nonetheless, Toyota did affirm that its output would begin to recover about two months ahead of schedule as its supplier facilities go back online. Situated mostly in the northeast part of Japan, the country's automaking industry was hard-hit by March's natural disasters.

Toyota also said that the strengthening yen had cut into its profit margins. According to the company, it needs the dollar at 85 yen or weaker to break even in Japan; the dollar is currently at 80 yen. Toyota produces a majority of its cars in Japan. 
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