Toyota has returned to profit, making around £810 million in the first quarter of 2010.
The profit - which compares to a £5.6 billion loss in the same period last year - comes despite the company being dogged by safety recalls this year. Toyota's overall profit for the financial year was £1.5bn.
However, Toyota confirmed that global sales were down by 4 per cent year-on-year at 7.24 million units. It has forecast this will increase to 7.29 million vehicles this year.
Toyota's president, Akio Toyoda, said: "There's no change in the fact that we are in stormy waters, but now I feel that even in the storm, we can see a ray of sunlight in the distance."