The world’s biggest carmaker is set to become its most profitable.

Toyota Motor Corporation said yesterday that, despite a marginal reining in of expected sales in the year to the end of next month of nine million vehicles, it was aiming for operating profits of 2.7 trillion yen (£15.1 billion).

Toyota, which has led the world in producing petrol-electric hybrid cars and last year started sales of the first mainstream commercially available hydrogen car, said that it had benefited from the weaker yen and stronger-than-expected American sales.

Reporting a 14 per cent rise in operating profits in the first nine months of its financial year after the close of the October-December quarter, it said that it expected full-year operating profits to come in 8 per cent better than last year’s Y2.5 billion. If that happens, the Japanese giant could beat Volkswagen, of Germany, to become the world’s most profitable carmaker.

Although volumes were down by 7 per cent in its home market, sales were up by more than 7 per cent in its largest marketplace, the United States. In Europe, where it makes Auris hybrids in Derbyshire, total sales in the nine months came in at 633,578, only 3,000 better than in the previous year.

In recent years Toyota in Europe has been concentrating on selling higher-margin hybrid vehicles, especially from its upmarket Lexus range.

The company said that operating income in Europe leapt by Y23.3 billion to Y66.4 billion.