TOKYO (Reuters) – Toyota Motor Corp forecast on Wednesday a 3.3 percent rise in operating profit for the current year due to cost reduction measures and changes to its depreciation methods.

Japan’s largest automaker expects profit to rise to 2.55 trillion yen ($23.20 billion) in the year to March 2020, slightly lower than the 2.61 trillion yen average of 23 analyst estimates compiled by Refinitiv.

Operating profit was 2.47 trillion yen for the year ended March, below the average 2.51 trillion yen estimate of analysts.

The automaker also forecast global group retail sales of 10.74 million vehicles for the current year, compared with 10.6 million in the previous year.

Toyota’s profit forecast is based on the assumption that the yen will trade around 110 to the U.S. dollar in the current financial year, compared with 111 yen in the year just ended.

($1 = 109.9300 yen)