TOKYO (AP) – Takata Corp., the Japanese auto-parts maker behind a massive air-bag recall, is expecting a return to profit for the fiscal year through March 2017, although it just agreed to do more recalls.
Tokyo-based Takata reported a 13 billion yen ($120 million) loss Wednesday for the fiscal year that ended in March – the second straight year of red ink.
It had originally forecast a profit, but revised that to a loss earlier this week. It racked up a 29.6 billion yen loss the previous fiscal year.
What lies ahead for Takata is largely unclear because automakers handling the recalls – which includes many major automakers around the world, such as Honda Motor Co., Ford Motor Co. and BMW, will bill Takata. And all the replacements are not yet done.
Class-action lawsuits that Takata is almost certain to face will add to the ballooning expenses.